The XXV Olympic Winter Games are officially underway in Italy, but the spirit of peace and unity traditionally associated with the Games is facing a complex reality. While the opening ceremony featured calls for global harmony, the lead-up to the event has been marred by controversy and financial concerns, casting a shadow over the competition.
The Games, which began on February 6, 2026, saw the Olympic flame depart from San Siro stadium for the first time in history, with two cauldrons lit – one at the Arco della Pace in Milan and another in Cortina d’Ampezzo. Alberto Tomba and Deborah Compagnoni ignited the flame in Milan, while Sofia Goggia had the honor in Cortina. The ceremony also included performances by Andrea Bocelli, Cecilia Bartoli, Lang Lang, and Ghali, who recited a poem by Gianni Rodari in Italian, English, and French, delivering a message against war.
However, beneath the spectacle, significant challenges have emerged. Disputes between the Milano Cortina 2026 Foundation, the organizing committee, and SIMICO, the public company responsible for infrastructure, have arrive to light. These tensions have been particularly acute regarding the Socrepes cable car in Cortina, an essential lift intended to transport 2,400 spectators per hour. Its incomplete state forced the Prefect of Belluno to order three days of school closures to prevent traffic chaos with the arrival of President Sergio Mattarella on February 12.
The cable car and the “Eugenio Monti” bobsleigh track have become symbols of the Games’ contradictions, raising concerns about speculation and environmental impact. The bobsleigh track, in particular, has faced criticism for its potential to become underutilized after the Games.
Despite these issues, the focus is now on the athletic competitions, with a surge of national pride accompanying the event. However, the problems encountered since the Games were awarded to Italy in Lausanne on June 24, 2019, cannot be ignored. An analysis of the situation reveals a potentially problematic legacy for the Games.
The economic structure of the Games has resulted in a substantial expenditure, estimated at around 7 billion euros – a figure far exceeding the initial promise of a “zero-cost” event for Italian taxpayers. This total is divided into two main parts: 2 billion euros for organization, managed by the Milano Cortina 2026 Foundation, and 4-5 billion euros for public works.
TWO BILLION FOR ORGANIZATION
The Foundation, led by Giovanni Malagò (until June 2025, also president of the CONI), with Andrea Varnier as CEO, is responsible for the 2 billion euro organizational budget. Varnier succeeded Vincenzo Novari in November 2022 following a change in government after Giorgia Meloni’s election victory. The original bid dossier projected a budget of approximately 1.4 billion euros, funded entirely by private sources – one-third from television rights, one-third from Worldwide Olympic Partners through the IOC, and one-third from sponsorships, ticket sales, and merchandising.
However, this projection proved inaccurate. A report released by the President of the Council of Ministers in June 2025 revealed that private funding would be insufficient, necessitating 328 million euros (later increased to 387 million euros in the autumn) in public funding.
THE NEW PARALYMPIC COMMISSIONER
The method of funding raised eyebrows. In June 2024, Sports Minister Andrea Abodi stated, “From the investment point of view, the Foundation has confirmed the amount of 1.6 billion, a limit that I consider an imperative to respect and which presupposes a capacity to act symmetrically on the revenue and cost side, in order to pursue this objective. Revenues are determined by exclusively private income, the Foundation does not receive public contributions.” However, this statement was contradicted a year later by a statement from Palazzo Chigi.
Adding to the complexity, the government appointed Giuseppe Fasiol, former Head of Infrastructure for the Veneto Region, as an extraordinary commissioner for the Paralympics six years after the Games were awarded. As of mid-December 2025, Fasiol had not yet received any funds to spend.
Traditionally, the Olympics and Paralympics have been united with a single budget, except for a 62.7 million euro allocation earmarked for the Paralympics in 2018. The appointment of a separate commissioner appears to be a strategic move to avoid acknowledging the need for public funds to cover organizational shortfalls. Italian taxpayers will bear the financial burden, reinforcing doubts about the private nature of the Milano Cortina Foundation.
PUBLIC WORKS
In addition to the 2 billion euros for organization, another 4-5 billion euros are allocated to public works, bringing the total expenditure to nearly 7 billion euros.
Initial plans in 2019 claimed that existing venues would require only moderate renovations: “We will not build new facilities unless they have already been planned” (from the bid dossier). This promise was not kept, as public spending on venues and related infrastructure ballooned from the initially projected 204 million euros to 945 million euros.
Only two new sports facilities were planned in Milan: the Olympic Village and the Santa Giulia Arena for hockey, both funded by private entities. However, extra costs and roadwork will result in approximately 100 million euros of public funding for the Village (which will become student housing owned by the Coima real estate company) and the Arena (which will be repurposed for events after the ice track is dismantled).
Investments in existing facilities also skyrocketed. The biathlon facility in Anterselva increased from 4.7 million euros to 55 million euros. The Cortina stadium grew from 7.6 million euros to 20 million euros. In Bormio, Valtellina, the planned 7 million euro investment became 78 million euros. Livigno, known as the “Little Tibet,” will see a total of 160 million euros invested, compared to the initial 20.7 million euro projection. Making the Verona Arena accessible for the Olympic and Paralympic closing ceremonies will cost 20 million euros, significantly more than the initial 1 million euro estimate, and the work was only partially completed in time for the ceremonies.
This surge in spending was fueled by local administrators, regions, and autonomous provinces, resulting in a public works plan totaling 3.9 billion euros. Responding to questions about waste and lack of transparency, Minister Andrea Abodi admitted on June 18, 2025, to the Chamber of Deputies: “These are complementary public works, in small part sporting, which in our country’s custom are planned only because there is a major sporting event.”
The minister’s statement raises critical concerns. It suggests that infrastructure projects are not based on actual needs but are instead triggered by major events. The Olympics become a catalyst for business and a justification for projects, even private ones, influencing political decision-making – a pattern seen in Turin 2006 and the 1990 World Cup, with subsequent scandals and investigations.
This explains the proliferation of ambitious projects, many of which have little to do with the Olympics and are unlikely to be completed on time. The Vercurago variant (Lecco) will cost 310 million euros and is scheduled for completion in 2033. The Cortina variant, costing 677 million euros (much of which is unfunded), is planned for 2032. The Trescore Entratico variant (Bergamo), at 271 million euros, is expected in 2030. The Longarone variant, costing 481 million euros, recently went to tender, making the announced completion date of 2029 appear ambitious.
The failure of planning was evident on the eve of the Games’ opening when SIMICO provided an update on infrastructure projects on January 22, 2026. Those hoping for a last-minute miracle, similar to Expo 2015, were disappointed. The total number of projects had been reduced from 111 in September 2023 to 98 due to consolidations and cancellations. Only 40 projects (40.8%) were ready for the Games, while 58 (59.2%) remained incomplete, with some still in the planning stages.
The figures reveal that only 4 out of 10 projects were completed, but the economic picture is even more concerning. The 40 completed projects, primarily sporting facilities, are worth 783 million euros, representing a mere 22.08% of the total expenditure. Conversely, the 58 incomplete projects are valued at 2.766 billion euros, accounting for 77.92% of the total. This figure could increase by another 165 million euros for the Cortina and Longarone variants. The total expenditure reaches 3.715 billion euros, with four-fifths of the funds still tied up in tenders, incomplete projects, or open construction sites.
To the 3.9 billion euros cited by Minister Matteo Salvini last April, add approximately 500 million euros from the Lombardy plan, and further funds from Alto Adige, Trentino, and Veneto.
Two of the most contentious projects are located in Cortina. The “Eugenio Monti” bobsleigh track, completely rebuilt, was initially budgeted at 47 million euros but will now cost 133 million euros. The construction involved felling a larch forest on the slopes of the Tofane mountains, and finding contractors willing to take on the project proved difficult, as the IOC itself expressed concerns that the facility might become underused.
The Socrepes cable car (costing around 40 million euros) was also pursued despite the unstable ground conditions. The aim was to transport 2,400 spectators per hour to the women’s alpine skiing events, a goal that was not achieved as the construction remains unfinished, and technical safety checks have not yet begun.
OPEN ISSUES FOR THE FUTURE
With incomplete works and substantial costs, as the Games have opened, five key areas will come into focus: legal proceedings, the closure of the Milano Cortina 2026 Foundation’s accounts, scrutiny by the Court of Auditors, the completion of outstanding works, and the costs of maintaining the newly built facilities.
The legal battle is complex. In Milan, the Public Prosecutor’s Office opened an investigation into alleged favoritism in hiring practices at the Milano Cortina 2026 Foundation, but the case stalled due to the abolition of the offense of abuse of office by a parliamentary law. Prosecutors know the names of individuals who may have benefited from connections, but their hands are tied. A second investigation focuses on urban planning related to the skyscrapers in Milan, with three of the 26 open cases concerning the Games: the Santa Giulia Arena, the Olympic Village in Porta Romana, and the new San Siro stadium.
The most advanced investigation centers on the Foundation’s activities and procurement processes. The Public Prosecutor’s Office raised questions about the constitutionality of the Foundation’s operations, which the investigating judge referred to the Constitutional Court. Prosecutors believe the Foundation is a public entity and should adhere to the transparency requirements of a public body. This led to an investigation into the awarding of contracts, with seven Foundation employees or Deloitte managers under investigation. In June 2024, the Italian government issued an interpretative note reaffirming the private nature of the Foundation, effectively halting the investigation and creating a standoff between the government and the prosecutors. The Constitutional Court will determine the legitimacy of the government’s intervention. Regardless, the Foundation’s activities have been shielded from scrutiny, and legal issues will not be revisited until after the Games.
The Foundation, protective of its private status, has not publicly disclosed details of its expenses, only providing summary figures in its financial statements. The reasons for the cost overruns and the criteria used to select service providers for 2 billion euros remain unclear. The Foundation’s accounts have consistently shown losses, raising concerns with the Court of Auditors, which has already issued warnings about maintaining budgetary balance.
Losses of 150 million euros were accumulated between 2020 and 2024. The full extent of the loss will be known when the 2026 accounts are finalized (in 2027), but it has already been covered by 387 million euros from the government. The Court of Auditors will then verify the expenses and their justification.
The final two open fronts concern the completion of works and the operation of the sports facilities. Will SIMICO be able to complete the projects outlined in the Olympic Plan? The answer is uncertain, as SIMICO’s mandate has been extended by law until December 31, 2033, acknowledging the unrealistic expectation of completing the plan by 2026.
Finally, the maintenance and operation of the sports facilities raise concerns. Who will manage them and with what resources, to avoid a repeat of the fate of facilities from Turin 2006, such as the Cesana Pariol bobsleigh track and the Pragelato ski jumps?
