Supplier News

Brazil – Brazilian lottery executive supports casino introduction

By Phil - 23 November 2015

The President of the Lottery in the state of Minas Gerais, Henrique Pereira Oro has come out in favour of the legalisation of gaming in Brazil arguing that the government should authorise states the right to explore new forms of gambling such as casinos, slot parlours, bingo, electronic bingo and gaming over the internet.

Appearing before a special public hearing which has been convened to discuss proposals surrounding the possible legalisation of gambling in the future, he said that other countries were benefitting from the “will of Brazilians to gamble in casinos” while Brazil was losing out.

Mr. Oro pointed out that the lotteries run in the state of Minas Gerais have helped build football stadiums, kindergartens and hospitals. “It is an example of highly profitable public company, generating income and jobs; the lottery is a centre for the collection of social resources for health, sports, public safety as well as social development,” he said.

These sentiments were echoed by deputy director of the Minas Gerais lottery Ronan Edgard Santos Moreira who added that state lotteries have a very close connection to citizens as well. Meanwhile the National Confederation of Tourism and Hospitality Workers (CONTRATUH) also came out in support of legislation which would open up the market arguing that the government could raise between R$15,000m and R$20,000m.
“Gaming provides a possibility of revenue for the government which is not placed on the worker. It (the industry) trains employees and attracts investment in infrastructure and encourages growth in tourist regions,” said President of CONTRATUH Moacyr Roberto Tesch Auersvald. The organisation noted that, before the prohibition of gambling in the country, that bingo halls alone had provided work for around 320,000 people both directly and indirectly.

Brazil’s government has taken the first step in a wide ranging study on the implications of a possible legalisation of bingo, casinos and other types of gambling with the integration of a Special Commission to examine ten proposals on the subject in the Senate.

This week the Special Commission on National Development in the Brazilian Senate will meet for the first time in order to discuss a project that would allow for gaming in Brazil. The members of the committee estimate that the legalisation of gaming could generate revenue equivalent to more than half of the US$10.5bn that the government is currently attempting to raise via the so called Provisional Contribution on Financial Transactions (CPMF) plan which is aimed at balancing public finances.