Brazilian government offers financial lifeline for Rio Olympic projects

Brazil's interim government on Tuesday vowed to provide financial support to ensure infrastructure projects are finished in time for this year's Olympics Games in Rio.

Among the projects set for funding is a new subway line from Ipanema to Barra da Tijuca, the neighborhood in Rio's west where Olympic Park and the athletes' village are located.

The line's completion is said to hinge on a federal government loan amid a mounting financial crisis within Rio's state government, which is responsible for the project.

"We will collaborate not just with words, but also with financial [help]," Brazil's acting president Michel Temer told reporters at Olympic Park.

Temer said a "solution" for the metro impasse would be announced next week but he did not provide details about other projects in line for federal funds.

"We are doing this with the absolute conviction that we are delivering something extraordinary for Brazil and the world," Temer said.

The new subway line will transport more than 300,000 people a day, removing around 2,000 cars per hour from Rio's streets at peak times, according to the government.

Temer assumed Brazil's top office last month after the suspension of Dilma Rousseff pending an impeachment trial over accusations she broke budget rules.

The ongoing political uncertainty was no reason to doubt Rio's capacity to stage a successful Olympics, Temer said.

"You all know that Brazil doesn't live by those who lead the country, but by its people. And its on behalf of the people that we are all working," he added.

Earlier, Temer met with the president of the International Olympic Committee, Thomas Bach, following a tour of Olympic Park's facilities. Upon leaving the meeting Bach told reporters that the government had given its "unconditional" support to ensure the Games were a success. Endit