JUE 28 DE NOVIEMBRE DE 2024 - 07:56hs.
Vinicius Lummertz, Secretary of Tourism of São Paulo State

Casinos: There is a sensible model

In an opinion column for Poder360 and through its Secretary of Tourism, Vinicius Lummertz, the Government of São Paulo defends a model with integrated resorts, under discussion at the Congress. The former sector minister in 2018-2019 states that “resorts integrated with casinos should be understood as projects made possible by capital that circulates around the world, eager for places where it can be safely invested... gambling is part, of course, but not the whole.”

In 2021 we complete 75 years of the ban on casinos in Brazil. President Eurico Gaspar Dutra's decision would have been motivated by his wife, Carmela, for the preservation of the families.

In 1986, 40 years later, São Paulo governor João Doria (PSDB), at the time president of Embratur, defended the permission for the casinos. This time, opposing voices claimed the risk of the growth of organized crime. That is, a certificate of surrender.

Over the decades, reality has imposed itself and it is clear how wrong the ban was. Without proselytizing, Brazil had and still has much more serious problems eroding family and social relations and crime is growing precisely in the shadows – including illegal gambling, without the country gaining anything from it.

While Brazil has the company of Cuba and countries of religious fundamentalism among those that prohibit casinos, the richest nations not only authorize but also charge taxes and investments, which revert to the whole society and not just to those who gamble.

Recent examples of efficient licensing management for casinos come from Asia. With billions of dollars invested, Singapore and Macau opened resorts integrated with casinos that receive millions of visitors. Japan has already made its approval. This model, of Integrated Resorts, is defended by the Government of São Paulo.

In the United States, casinos operate in several states. Nevada, where Las Vegas is located, is the most famous and only 25% of the revenue comes from gambling. Most of the revenue is linked to other activities, such as events, conferences, show business, accommodation, restaurants in mega convention centers and large stores. Families go there and everyone has fun.

Closer to home, half of the tourists who go to play in Uruguay are Brazilian. The neighboring country receives about 3.2 million foreigners, meanwhile the whole of Brazil has parked itself in 6 million international tourists.

That could change. The authorization for the implementation of resorts integrated with casinos in Brazil is under discussion in the National Congress, as in Bill 4.495/2020, by senator Irajá Abreu (PSD-TO). It links the operation to an investment far greater than that made in gaming rooms. It includes theme parks, event centers, theaters, luxury hotels and extensive leisure facilities, spas, etc. This interests the development of tourism.

Resorts integrated with casinos should be understood as developments that do not exist in Brazil today, made possible by capital that circulates around the world, eager for places where it can be safely invested. Gaming is part, of course, but not the whole.

Discuss variations, such as how many would be authorized, the minimum distance between them, the percentage of built area, the minimum investment, the selection process is healthy. As long as the objective is not lost: attracting investments, creating thousands of jobs with the most diverse profiles and backgrounds, generating taxes and social development, in addition to attracting new international tourists to the country, reducing foreign exchange evasion.

It is important to discuss the matter with the clarity it deserves. A look at the proposals that have already gone through Brasília makes clear the importance of pointing out that what is fundamental for the development of tourism is not the legalization of jogo do bicho, bingos, betting machines, gaming sites that, by the way, thrive.

We have the opportunity to discuss and approve a law that, preserved in its essence and, preferably, without the famous tortoises that climb trees, will effectively contribute to attracting investments and implementing casinos integrated into resorts.

Regardless of the political coloration, there is a reasonable –and currently rare– alignment on the importance of approval for the social transformation of regions through tourism and its positive externalities, such as the entertainment, creative economy and culture industries. It's time to choose a sensible model and take Brazil from another backward leadership.

Vinicius Lummertz
Graduated in Political Science from the American University of Paris, he completed postgraduate studies at the Kennedy School, at Harvard University. He has been Secretary of Tourism for the State of São Paulo since January 2019. He was Minister of Tourism from April 2018 to December 2019, President of Embratur from June 2015 to April 2018 and National Secretary for Tourism Policy from September 2012 to May 2015.

Source: Poder360