Rio Grande do Sul reactivates oldest state lottery in Brazil, aims to raise US$540m

The Governor of Rio Grande do Sul recreated, through a decree, the oldest state lottery in the country. In the document published in the Official Gazette this Tuesday (26), Eduardo Leite formalized the creation of a management committee made up of members of five government agencies, which will have 90 days to define the rules for the creation, concession, regulation and inspection of games.

The governor intends, with the measure, to raise revenue to face social actions in the state of Rio Grande do Sul. According to studies in the hands of Eduardo Leite, the recreation of the state lottery can generate net income of R$3 billion (US$540m) for the coffers public over 20 years, which involve the grant amount to be paid by the company that wins the bid, a percentage on bets and even taxes levied on the business. It would also be able to generate more than 8 thousand Jobs.

In the government plan, instant lotteries, traditional tickets and sports betting will be offered through physical and virtual means. The definition of the model to be presented still depends on further studies to be taken into account by the management council created by the decree and implementation in the first half of 2021.

Representatives of the Governor's office, the Civil House, the State Attorney General and the Finance and Planning secretariats are part of the council. The group will have 90 days to present plans for the creation of the state lottery and how it will be operated and supervised. The idea is to launch, within 45 days, a notice inviting operators to present the appropriate studies for the implementation of the lottery.

As in other models in progress in the country, the expectations are that the presentations would serve to subsidize the state government to launch a notice for companies to present their proposals for the operation of lottery modalities.

According to the studies by the government of Rio Grande do Sul, Rio Grande do Sul would be able to generate more than 8 thousand jobs and raise almost R$ 3 billion in 20 years just with the activity's taxes, percentage on bets and grant value to be paid by the operator of the future lottery.

Source: GMB