DA Calls for Private Sector Support for R700 Million G20 Summit Budget

The Democratic Alliance (DA) has urged South Africa’s private sector to assist with the estimated R700 million needed to host the G20 Summit next year. The call comes after it was revealed that the government requires at least this amount to organise the prestigious event, which aims to foster partnerships with key global players.

In February, President Cyril Ramaphosa’s office expressed confidence in South Africa’s ability to host the G20 Summit. This optimism stems from the country’s successful track record with large international gatherings such as the BRICS Summit and the African Growth and Opportunity Act Forum.

South Africa to Make History as First African G20 Host

Minister in the Presidency, Khumbudzo Ntshavheni, highlighted the significance of the event, noting that South Africa would become the first African nation to host a G20 Summit. She emphasised that the occasion would not only draw large numbers but would also have a lasting positive impact on the nation’s global standing.

On Wednesday, DA deputy spokesperson on International Relations and Cooperation, Ryan Smith, revealed in Parliament that over R700 million would be necessary to host the summit. He explained that R194 million would be allocated for the Leader’s Summit, while R497 million would be spent on the Sherpa Track meetings, organised by the Department of International Relations and Cooperation. These meetings oversee the summit’s agenda and negotiations.

Smith compared South Africa’s G20 budget to that of India, which allocated nearly R1 billion for its 2023 G20 Summit, though its final cost could exceed this amount.

DA’s Call for Private Sector Involvement

The DA has encouraged President Ramaphosa to engage the private sector to avoid overburdening the national budget. “We call on President Cyril Ramaphosa to partner with the private sector to obtain finance and support to plug any potential budgetary shortfalls, to ensure that South Africa can host a world-class G20 Summit and showcase the best of our country to the world and the international community,” said Smith.

He stressed that the summit should not strain the national fiscus or place additional pressure on an already overstretched tax base. The DA intends to submit a comprehensive list of expected outcomes for South Africa’s participation in the summit. These outcomes will focus on tangible benefits for the country, such as job creation, economic growth, and increased trade through enhanced bilateral and multilateral agreements.

A Chance for South Africa to Shine

The upcoming G20 Summit presents a unique opportunity for South Africa to strengthen its global relationships and showcase its potential as a key player in international diplomacy. With private sector involvement, the country could secure the necessary funding to host the event successfully without compromising its financial stability.