Rio 2016 to ask governments to make up $38m Paralympics deficit
Rio 2016, the organising committee for last year’s Olympic Games in the Brazilian city, is to ask the federal and municipal governments to pay back a deficit of R$117 million ($37.8 million) incurred as a result of hosting the Paralympic Games.
Rio 2016 claims that the deficit was the result of the governments failing to provide the funding they had promised for the Paralympics in the first place.
Mario Andrada, spokesman for Rio 2016, told Reuters: “We talked to them and told them the situation and they have said they will help.
“The deficit in December was R$132 million and we have reduced it to R$117 so far this year. We negotiated with suppliers and we are talking to the government.”
However, the federal government has denied that it failed to fulfil its commitments, with the sports ministry saying in a statement: “The federal government does not consider that it has anything pending with the Rio 2016 Committee.”
Andrada has claimed that the municipal government paid only R$30 million of the R$150 million it promised, while the federal government paid less than R$60 million of its R$100-million commitment.
Brazil was hit by the worst financial downturn in its history in the run-up to the Olympics and Paralympics.