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2010 costs set to soar

Nov 20 2007 15:56

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Pretoria - Projected costs for preparations to host the 2010 soccer World Cup could be up to 20% higher due to factors such as rising steel and cement prices, the deputy finance minister said on Tuesday.

In a briefing, Deputy Minister of Finance Jabu Moleketi said officials in the nine host cities had delivered cost escalations between R2.8bn and R3.4bn above what had been budgeted.

"These are some of the projections that are coming in," he said.

Moleketi added that the government planned to question and verify the cost escalations and it would have a clearer idea of the World Cup cost by the time Finance Minister Trevor Manuel presents the country's budget in February 2008.

The government has budgeted about R17.5bn for the construction and refurbishment of soccer stadiums and other infrastructure for the tournament.

Moleketi added that the government was confident that organised labour and workers who have been demanding higher wages and concessions at stadium work sites would not "sabotage" the preparations.

- Reuters

 
 
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