A budget of PLN400 million (£73 million/$100 million/€88 million) was set in January for the Games with the Polish Government funding half of the operational costs along with equal contributions from Kraków and Małopolska.

But Poland, like many other countries across the world, is facing a cost-of-living crisis as food, fuel and energy prices soar.

Inflation has risen to a 25-year high in Poland and there are fears it will continue to increase as Russia’s military assault on Ukraine rages on.

The financial situation is a cause for concern for Kraków-Małopolska 2023 President Marcin Nowak as his team prepares for the European Games which are set to start in just under nine months' time.

When asked whether the organisers were on budget for the Games, Nowak said: "This is a difficult question because after the pandemic and now with a war going on you can see what the prices around the world look like."

Concerns were raised over finances for the Games last month with Kraków councillor Łukasz Maślona claiming that the budget was "underestimated" and feared the cost of the multi-sport event would be "several times higher" than originally forecast.

Maślona's comments came after one tender offer for the renovations of the Estadio Henryk Reyman, which is due to hold the Opening Ceremony, was as much as PLN 139 million (£25.4 million/$29.1 million/€29.3 million) over budget.

Tenders continue for modernisation of facilities for beach football and handball, beach volleyball, badminton and sport climbing.

But Nowak believes that Kraków-Małopolska 2023 is "lucky" that it decided to renovate existing facilities instead of constructing new ones for the Games.

"The budget is a big unknown," said Nowak.

"We have it but we need to do work with the tenders.

"It’s not easy and we will see once we have opened the offers."

Kraków-Małopolska 2023 reached a key milestone in its preparations for the Games last Friday (September 30) when it finally received the European Olympic Committees flag in a handover ceremony.

"It is a great privilege to be able to hang the flag from the European Olympic Committees," said Nowak.

"We will have it now for at least one year so we have some plans to promote the European Olympic Movement and sports activity because this is what we are doing it for.

"We are doing it for the kids to promote sport activities in our cities."

Nowak has also revealed that wrestling could be added to the 25-strong sports programme for Kraków-Małopolska 2023.

Aquatics is expected to be added to the mix, with artistic swimming and diving recognised as the most suitable disciplines.

However, Nowak said a decision over the inclusion of aquatics was still "pending" as organisers try to find a venue for artistic swimming.

Archery, athletics, badminton, boxing, breaking, beach handball, beach soccer, 3x3 basketball, canoe, freestyle BMX and mountain biking, fencing, judo, karate, kickboxing, modern pentathlon, muaythai, padel, shooting, sport climbing, ski jumping, taekwondo, teqball, table tennis and triathlon are also due to be held in Poland.

The European Games are scheduled to run from June 21 to July 2 2023.