Brazil: the land of colourful festivals, great coffee and, of course, the 2016 Rio Olympics. There may be much to celebrate about this beautiful South American nation, but as of late, the country has been plagued by bad publicity as a result of illness, governmental corruption and economic deterioration. The Rio Olympics was estimated to cost $4.6 billion, excluding the $1.6 billion in estimated budget overages – money that citizens and the general public believes Brazil does not have. Despite various attempts at justification from the government, Brazil is caught between being hopeful and unrealistic, as many experts believe that the money spent on such a huge international event could be better spent on the domestic issues of the nation.
At this time, Brazil is experiencing its worst health crisis since 1918, as Brazil’s health ministry estimates that up to 1.5 million Brazilians may have been infected with the Zika virus. The Zika virus is mostly transmitted by infected mosquitoes (the Aedes), the same species that carries dengue and yellow fever, as well as the Chikungunya virus.
The Brazilian government has allocated — from both the public and private sectors — 16 times more money to the Rio Olympics than the allocation to combat the Zika virus.
While foreigners are embracing the culture of Brazil and celebrating the victory of the athletes, the economic state of the country is shocking. Brazil is experiencing its worst economic crisis since 1930, after the 3.8% contraction last year, and then again in the first quarter of 2016 where the economy shrank by 0.3%. This financial crisis made the country unable to pay police salaries, as well as failure to keep hospitals open. “While mega-events like the Olympics may be a great reason to celebrate, these large-scale events can be expensive, if money isn’t allocated correctly,” says JP Prinsloo, owner of events company, Prifactor.
The economic turmoil has collided with the political issues of the country. Dilma Rousseff, the former president of Brazil, has been suspended pending the outcome of her trial, where she is accused of doctoring accounts to minimize the size of the budget deficit, in order to improve her re-election prospects. The political disorder seems to have filtered down to the lives of the everyday people, and the public is realising where the country’s priorities lie.
Many believe that Brazil was not ready to host yet another mega-sporting event, especially after the 2014 Soccer World Cup, which cost the struggling country an estimated $14 billion – money that the public suggested could be put to better use. Although the government claims that the influx of tourists to the Rio Olympics will do the economy well, a lot of pressure lies on the tourists’ experience of Brazil. With increased crime making headlines across the world, a backlash is brewing.
When CBS News spoke with Felipe Paiva, a Brazilian woman who lives in one of Rio’s poorest neighbourhoods, Felipe was asked about her standard of living compared to the millions of dollars spent on the mega-sporting event. “The investment is not for us, it’s for the foreigners,” she said.
A country like Brazil could benefit from a huge international event. If money is allocated efficiently, it could be beneficial and enjoyable for all. In the words of JP Prinsloo: “Taking care of the citizens of the country should be any country’s first priority”.
