Rio de Janeiro has been declared in a state of financial emergency by its governor who called for federal funds to avert a “total collapse in public security, health, education, transport and environmental management”.
The plea came with less than 50 days to go before the opening of the Olympics, South America’s first.
Things are not stacking up well. The country is in deep recession, hit by the Zika epidemic, engulfed by the largest corruption scandal in recent times, pondering the impeachment of its president and coping with various strikes and occupations of schools and hospitals.
With tax revenues nosediving, the state government cut health, police and education budgets. Lengthy delays in paying salaries have brought teachers and doctors onto the streets in strike.
Most of the sports venues are either finished or at least on schedule. Many had been funded by private companies or Rio City.
Rio State, however, is responsible for a metro extension which has been so delayed that it is not expected to operate until just days before the Games open.
State officials say there are no funds to clear the sewage, excrement and plastic pollution from the bay for the yachting events.
But it is the cut in the public security budget which is leading to fears of increased crime.
The interim president, Michel Temer, is reported to have agreed to disburse federal funds to cover Rio’s shortfall and ensure the Olympics goes ahead as planned.