Germany has committed itself to €7.9 million ($9.5 million) in funding for a pilot urban renewal project in Cape Town's crime-ridden Khayelitsha area, the settlement targeted by South African President Thabo Mbeki as one of the country's most needy in his 2001 urban renewal program. The German government money, channeled through its KfW development bank, will be matched by an equivalent commitment from the City of Cape Town and the Western Cape and national governments. Khayelitsha, established in the apartheid years as a segregated settlement for black workers in Cape Town, houses more than half of the city's unemployed. It is also one of the most dangerous residential areas in South Africa and reported 1,361 murders over 12 months in 2002/03.