By Lehlohonolo Lehana.
President Cyril Ramaphosa on Friday weighed in on the contentious Tottenham Hotspur deal – saying that he doesn’t believe spending close to R1 billion this way is justified.
Plans by tourism agency to sponsor Tottenham Hotspur were unveiled this week – at a time when record power cuts have wreaked havoc on Africa’s most industrialised nation and citizens battle rising food and fuel costs.
“We do not think spending so much money in the manner that is being suggested will be justified,” presidential spokesman Vincent Magwenya said, adding Ramaphosa had not been briefed on the matter.
Plans for the sponsorship, said to be worth almost one-billion-rand ($58 million), were first reported by the Daily Maverick.
The report this week caused uproar in the blackout-ridden country, with many arguing the money would be better spent elsewhere.
Manny de Freitas, a lawmaker with the opposition Democratic Alliance party, said the deal was “a slap in the face of every South African”, and suggested the funds should be used “to buy diesel to alleviate” power cuts.
At a press conference on Thursday, SA Tourism CEO Themba Khumalo defended the plan, which won preliminary approval by the agency’s board, saying returns would dwarf costs.
The deal aimed at attracting foreign currency and visitors to boost the country’s battered tourism industry, which has not fully recovered since the coronavirus pandemic, the agency said.
Under the plan, SA Tourism branding would appear on the high-flying Premier League side’s kit.
Tourism Minister Lindiwe Sisulu, a political foe of Ramaphosa, also distanced herself from the proposal, denying reports she had been the driving force behind it.
“Sisulu is still awaiting for a report and to be briefed,” a ministry statement said on Wednesday.
Tourism was dealt a massive blow by the coronavirus pandemic and related travel bans, and currently generates about 3% of South Africa’s gross domestic product. Ongoing electricity outages have deterred holidaymakers from visiting the country, undermining efforts to revive the industry.
Meanwhile three SA Tourism (SAT) board members resigned on Friday following criticism around the Tottenham Hotspur sponsorship deal.
Enver Duminy, Ravi Nadasen and Rosemary Anderson tendered their resignations effective immediately.