Less than 50 days before the start of the Olympic Games, the Brazilian state of Rio de Janeiro has declared a financial emergency.
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Brazil is struggling with its worst recession in decades and a political crisis that last month led to the suspension of President Dilma Rousseff.
An official government gazette released yesterday read that severe economic crisis has prevented the state from “honoring its commitments to the organization of the Olympic and Paralympic Games”, reports CNN.
Nissan said that the sponsorship contemplates the supply of approximately 4,200 vehicles of different types to attend Rio 2016 organising committee for Olympic Game’s needs.
Paes tweeted that Rio was in “absolute fiscal and financial comfort”.
Although this has been the story every four years; Athens was a mess, Beijing was in turmoil and Sochi in shambles, unfinished till the very last.
This authorizes additional funding to fulfill obligations during the games.
The state of Rio has 16 million inhabitants and relies heavily on royalties from the oil fields off its coast.
Police, teachers and other government workers in Rio state have seen paychecks delayed because of the cash crunch.
Along with paying for state police during the Games, Rio de Janeiro state is also committed to paying for construction that will extend the metro to the Olympic Park as well as facilities to clean the waters sailors will use during the Games.
Rio state Finance Minister Julio Bueno said “security was the state’s biggest cost”, according to the Post.
The country’s interim president said his government would ensure the games are a success. As security has worsened and violent crime risen in recent months, officers in some favelas have increasingly stayed confined to base.
The federal, state and municipal governments all swore that would not happen.
“It means that Governor Dornelles can get loans without the authorization of the state assembly”.
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“People come out, block streets, do sit-ins because they are fed up with the corruption and deterioration of all of their public services”. “He can contract services without bid loans”, Baa said.
