The Cabinet Office says the City Deal scheme aims to set cities free from Whitehall control - giving them autonomy over certain budgets including investment in transport improvements.
Under a restructuring scheme, the Post Office aims to close a third of its UK-wide network of more than 9, 000 urban branches, while modernising many of the remaining ones.
Mr Arias proposed a deal that would reinstate Mr Zelaya on condition that he abandon his efforts to rewrite the constitution (which his opponents saw as a scheme to stay in office).