The recent resignation of Brazil's tourism minister is another sign that things are not looking good for the upcoming Summer Olympic Games in Rio de Janeiro, Brazil. From political corruption to a spreading virus, the Olympic Games are facing some serious challenges.
Ideally, the Olympic Games should bring an economic boost to the host country. Why else would countries all over the world place their bids every four years for a chance to bring the Games to their homeland? However, research has shown that it is not in a country's best economic interests to host the Olympics. Now add in the fact that Brazil's economy is already in disrepair, and the outlook isn't too bright.
Henrique Eduardo Alves, the tourism minister accused of accepting bribes from the state-owned oil company, is the third cabinet Brazilian cabinet member to resign in less than a month. The planning and transparency ministers resigned in May following more allegations of corruption at the oil company.
This resignation is truly detrimental at a time when tourism revenue is of such importance. Just this month, Brazil announced a Visa waiver for tourists coming from the U.S., Canada, Japan, and Australia. This desperate move is hoping to generate a revenue increase of about $80 million USD.
The chaos surrounding these Games has led to a debate about cancelling the events. While this is highly unlikely, it displays a sense of pessimism towards the condition of the country. Brazil is a top ten economy in terms of GDP, which means that the world economic condition as a whole will improve when Brazil's economy begins to improve, and that starts with finally holding its leadership accountable.