Germany says foreigners must share in R98m Covid-19 relief gift to Cape Town

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Germany is giving €5m (about R98m) to feed Cape Town families hit hard by the Covid-19 lockdown, but on condition that at least 20% of beneficiaries are foreigners.

In addition, the KfW German Development Bank said half the spaza shops where digital vouchers are spent must be owned by foreigners.

“Through these emergency measures, about 25,000 families and pregnant women in need could be supported with a digital food voucher worth about R600 per month for about three months,” the bank's Silke Stadtmann and Peter Weinert said in a letter to Plato. “The owners of local spaza shops where the food vouchers can be redeemed are an indirect target group due to the increased spending capacity of the primary beneficiaries,” it said. “A minimum of 50% of the participating spaza shops should be owned by foreigners.”

Stadtmann and Weinert said some of the money would be used to support informal businesses such as urban vegetable gardens and early childhood development centres.

 

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