JOHANNESBURG, South Africa - Nelson Mandela celebrated his 89th birthday Wednesday by joining with other Nobel peace laureates, politicians and development experts to form a "council of elders" dedicated to fostering peace and resolving global crises.

Former South African President Nelson Mandela , flanked by Singer Peter Gabriel, left and entrepreneur Sir Richard Branson, right, listens to South African Archibishop Desmond Tutu aaddress an audience during the official launch of a new group, The Elders, on the occasion of Mandela's 89th birthday in Johannesburg Wednesday July 18, 2007. [AP]

The event kicked off with about 250 people, including former President Jimmy Carter, singing "Happy Birthday" as a beaming Mandela took the stage, accompanied by an aide and leaning heavily on his cane.

"How God must love South Africa to have given us such a priceless gift!" former Archbishop Desmond Tutu, the chairman of the elders group, told Mandela. "You bowled us all over by your graciousness, magnanimity and generosity of spirit."

Mandela was imprisoned for nearly three decades for his fight against apartheid. Released in 1990, he led negotiations to end white rule. In South Africa's first fully democratic elections in 1994, he was elected president.

He left office in 1999 but has continued to work to reduce poverty, illiteracy and AIDS in Africa.

The new humanitarian alliance, called the Elders, was an idea of British entrepreneur Richard Branson, who shares a birthday with Mandela, and musician Peter Gabriel. Branson helped raise the $18 million in funding over three years for the group.

Along with Mandela, Carter and Tutu, the Elders are former UN Secretary-General Kofi Annan; Ela Bhatt, an Indian women's rights campaigner; former Norwegian Prime Minister Gro Harlem Brundtland; Li Zhaoxing, a former Chinese envoy to the UN who worked in Africa; Mandela's wife, Graca Machel, a longtime campaigner for children's rights; former Irish President Mary Robinson; and Bangladeshi micro-credit pioneer Muhammad Yunus.

The Elders "will support courage where there is fear, foster agreement where there is conflict and inspire hope where there is despair," Mandela said.

Mandela, who walked with difficulty and was not expected to take an active role in the new group, joked about his attempts to stay in retirement.

Mandela and Machel often held hands during the event, especially when Tutu reminded the crowd that the day also marked the couple's ninth wedding anniversary.

At one point during the emotional gathering, Gabriel sang his "Biko" unaccompanied, leaving Tutu weeping. Black leader Steve Biko died at the hands of the apartheid security forces 30 years ago.

The Elders will decide their priorities in the next few months.

"My prayer is that the great potential of the Elders might be realized though sound judgment and through dedication and courage," Carter said.

The Elders event was part of a weeklong birthday celebration for Mandela.

Later Wednesday, more than 50 soccer stars played in a "90 Minutes for Mandela" match in Cape Town, pitting Africa against the rest of the word. Retired Brazilian soccer star Pele and three-time African player of the year Samuel Eto'o were among the players.

The 35,400-crowd sang "Happy Birthday" to Mandela before the match, which ended in a 3-3 draw.

"Today is indeed an extra special birthday for me, as I have been given this wonderful gift of a football match played in my honor," said Mandela in a recorded message shown on the giant screen. "This match is more than just a game; it symbolizes the power of football to bring people together from all over the world, regardless of the language they speak or the color of their skin."