BUENOS AIRES, Argentina (AP) — The head of Olympic marketing has warned that organizers for the 2016 Rio de Janeiro Games are facing tough conditions trying to sell local sponsorships for South America's first games.

Speaking Monday before the IOC's general assembly in Buenos Aires, Norwegian Gerhard Heiberg said the climate had changed in Brazil, which is facing a slowing economy that makes companies less willing to invest in sponsorships.

Leo Gryner, chief operating officer of the Rio organizing committee, acknowledged last month that $700 million in government money might be needed to balance the operating budget for the games if there is a shortfall in selling local sponsorships.