The Rio Olympic Games debt is rising meteorically. The liabilities which stood at $ 32 million have reached $ 113 million in three years since the Games in 2016.
The Rio 2016 Games debut is now around $ 113 million, insidethegames.biz has reported citing a report in Brazilian publication Jornal Noroeste. This is an over three time increase in the total $ 32 million outstanding reported in December 2016 – at the end of the Games’ year – when the figure was disclosed last.
The majority of outstanding is due to the suppliers, including GL Events, who helped construct some of the temporary venues used at the Games. The Brazilian Olympic Committee are among other creditors. They are reportedly have an outstanding of $4 million.
Among other concerns, the Rio committee still faces the labour debts, ticket dues and ongoing issues with the return of sporting facilities. The Rio 2016 Organising Committee, which still has seven members on board, has not been dissolved ever two-and-a-half years after the conclusion of the Games. The committee can only be dissolved after all the Games’ accounts are closed.
Pending lawsuits are another major hurdle in binding up the Games’ Committee. The report states that 258 civil and 325 labour suits are pending against the Games.
The committee has reportedly also appealed the Brazilian government to set aside the debts. International Olympic Committee to has declined its request for funds.
The report sharply contradicts Former Rio de Janeiro Mayor Eduardo Paes’ denial that there were any debts left over from the Olympics and Paralympics in the Brazilian city. Rio 2016 officials have also stressed supposed legacy benefits from hosting the Games.
A new study had concluded last month that the Olympics in Rio de Janeiro had positive economic impacts on both the host city and its wider metropolitan area.