The IFP-led administration in Richards Bay said that at least R198 million would be spent to refurbish a local soccer stadium and a fitness center.

The Inkatha Freedom Party (IFP) came out to defend a recently approved a R600 million loan to the City of uMhlathuze, KwaZulu-Natal, saying it would prioritise revenue-generating infrastructure programmes.

The IFP-led administration in Richards Bay said that at least R198 million would be spent to refurbish a local soccer stadium and a fitness centre.

It said that this would generate tourism.

The largely rural municipality, however, planned to only spend R21 million on social and community services from the loan amount.

The City of uMhlathuze said that it also planned to spend R165 million to revamp its water infrastructure, while dedicating at least R2 million on environmental protection.

Mayor Xolani Ngwezi said that they had conducted feasibility studies to ensure that the projects did not become white elephants.

“When PSL games play here, our local tourism industry benefits. Local tourism businesses are, then, able to pay revenue to the city.”

Ngwezi said that the money was sourced from various banks but did not share any further details.

By: Nkosikhona Duma

For more information visit: ewn.co.za

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