Arab Today, arab today brazil risks own goal with high world cup prices
Last Updated : GMT 08:17:24
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Brazil risks own goal with high World Cup prices

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Arab Today, arab today Brazil risks own goal with high World Cup prices

Rio De Janeiro - AFP

Eyeing a massive boost to tourism and prestige, Brazil hoped it had won the jackpot in earning the right to host the next World Cup and summer Olympics. But in a country racing to upgrade sagging infrastructure, some analysts say eye-watering prices could hit tourism hard -- and long-term. "Brazil is going to price itself out of the market," if it overcharges fans for accommodation and transport, said economics professor Wolfgang Maennig, who has closely studied the impact of major sports events on host economies. Maennig pointed to dozens of hotels asking up to four times their normal rates for next year's World Cup while Brazilian marketing firm Mundi highlighted airline price hikes of up to 1,000 percent. That led President Dilma Rousseff in October to set up a price-monitoring panel, with Flavio Dino, president of state tourism board Embratur, commenting: "The problem is what happens post 2016 (after the Rio Olympics). Brazil must not be seen as a pricy destination or we shall kill the golden goose for decades." Hamburg University's Maennig said Brazil was slipping into a price trap.

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