Friday, November 26, 2010

A red flag for the Rio de Janeiro 2016 Games - Week long violence prompts Rio Olympic organizers to promised "total security" for Rio Games!

From Associated Press via USA Today:

More than 96 buses and cars have been burned on major roadways, many motorists have been robbed and police outposts have been shot in the city that will host the final match of the 2014 World Cup as well as the 2016 Olympics.

At the Wall Street Journal, which is very good at looking around corners and providing analysis, they mentioned that Brazil Peacekeeping Police brought in armor carriers borrowed from the military to quell violence:

A burned-out car was found with a sign declaring "no Olympics" as long as the peacekeeping police are in place, a local newspaper reported. State authorities responded by deploying heavily armed paramilitary police units to battle the gangs.

I recently became worried about the Rio 2016 Games when I noticed that the interest rates on their bonds and certificate of deposit rates started to spike.

In the 1980's Brazil's inflation rate roared to +80% a month; (a loaf of bread that cost $1.00 in June cost $1.80 in July), and the government had to institute some new ideas and a new currency; (the Real featured in the photo above).

What is the inflation in Brazil today?

From Bloomberg:
Higher prices for food, including beans and corn, helped push the annual inflation rate in Latin America’s biggest economy to a five-month high of 5.2 percent in October. Consumer prices rose 0.86 percent in the month through mid-November, the fastest pace in nine months, the national statistics agency said Nov. 23.

Now, within one hour or writing all the above, the International Olympic Committee weighs in:

"... "Security arrangements fall under the responsibility of governments," the IOC said in a statement sent to The Associated Press. "In the past, Rio and Brazil have shown that they are able to host major events safely and we have full confidence in the Brazilian authorities' capacity to deliver a safe games in six years' time.

"The IOC has discussed the security issue directly with Rio 2016 and express confidence that there will be adequate security for the games. ..."


Though the IOC gives their full endorsement that Brazil will have both it's Security issues and the ability to host international events in six years time fulfilled, FIFA is showing a little less patience demanding results in both Stadium preparation and airport infrastructure.

From USA today:
[President Luiz Inacio Lula da Silva] also criticized FIFA for imposing "European standards" for the construction and the upgrade of stadiums for the World Cup. He specifically complained of the FIFA veto to Morumbi stadium in Sao Paulo, which has forced the city to build another venue to try to host the competition's opening match.

[FIFA demands a stadium that can hold 65,000 spectators - airport infrastructure is also contained in the article.]


If I was an IOC official, I would quietly give Brazil a 2012 deadline delte all internal security concerns and proof that the 2014 FIFA World CUP was on strong economic footing. If not, I would start shopping for a "Plan B" venue for the 2016 games. Beijing, Japan or Los Angeles would be my choice for a "Plan B."

What shocks me the most about all the these governing bodies from FIFA, the IOC and even FINA: You would think the IOC and others would pick a country that had it's ducks in a row rather than betting that they will come opening ceremonies.

No comments: