By David Owen

The Confederations Cup, won by Brazil, created more than 300,000 jobs according to the study by the Economic Research Institute Foundation ©Getty ImagesApril 8 - The Brazilian Government has fired a numerical salvo in the direction of critics who continue to argue that hosting sporting mega-events such as the 2014 FIFA World Cup and 2016 Olympic and Paralympic Games is not in the country's best interests.


An economic impact study of last year's Confederations Cup, effectively a test event for the World Cup itself, claims the tournament led to a total of reals 20.7 billion (£5.5 billion/$9.3 billion/€6.7 billion) in financial transactions and added reals 9.7 billion (£2.6 billion/$4.37 billion/€3.1 billion) to Brazilian gross domestic product (GDP).

The study, conducted by the Economic Research Institute Foundation (FIPE) and published by the Brazilian Ministry of Tourism, also says the competition created the equivalent of more than 300,000 jobs.

Some 58 per cent of the reals 9.7 billion in extra GDP is said to have been spent in the six host cities of Brasilia, Belo Horizonte, Fortaleza, Recife, Rio de Janeiro and Salvador, with 42 per cent disbursed elsewhere.

This finding was pounced on by Tourism Minister Vinicius Lages, who said it showed the tournament's impact was "not restricted to host cities" and had "an impact on the whole of Brazil".

The tournament had an impact on the whole of Brazil, Tourism Minister Vinicius Lages said in response to the study ©AFP/Getty ImagesThe tournament had an impact on the whole of Brazil, Tourism Minister Vinicius Lages said in response to the study ©AFP/Getty Images



FIFA recently revealed that the demonstration-marred tournament generated net ticketing income of just over $50 million (£29.9 million/€36.3 million); expenses related to the event were put at almost $70 million (£41.9 million/€50.8 million).

The governing body's recently-published 2013 financial report also disclosed that unexpected costs last year forced it to earmark an extra $70 million for the 2014 World Cup.

Rio de Janeiro, the city due to host the 2016 Olympics and Paralympics as well as the World Cup final, was said to have recorded both the highest number of financial transactions among the Confederations Cup host cities - reals 6 billion (£1.6 billion/$1.9 billion/€2.7 billion) - and the highest number of jobs generated, 59,000.

Investments made for the Confederations Cup, won convincingly by hosts Brazil, were said to represent 36 per cent of the total predicted for the 12 World Cup host cities.

The tournament was marred by protests about rising transport costs, the country's ongoing issues with corruption and the cost of hosting the World Cup and the 2016 Olympic and Paralympic Games.

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