JUE 28 DE NOVIEMBRE DE 2024 - 02:46hs.
Senator Irajá at Economic Affairs Committee hearing

"We intend to approve casino project for Brazil at Senate resumption of legislative work”

Senator Irajá chaired the session of Senate’s Economic Affairs Committee that discussed the implementation of resort casinos in the country. At the semi-attendance meeting, the author of bill 4495/2020 that regulates casinos in integrated resorts said that 'we intend to approve the bill when legislative work is resumed in the Senate.' According to him, the President of the Senate, Rodrigo Pacheco, is sympathetic to the project and wants to guide it as soon as possible.

Despite the low presence of authorities to discuss the issue, the result was positive, with support from participants for the implementation of casinos in resorts, but with reservations to expand the project.

Vinicius Lummertz, São Paulo's Secretary of Tourism, apologized for the poor quality of audio and video because he was in transit, but defended that resort casinos should be approved and that alternatives to other models be allowed. “Macau did this. It used to be a fishing village and is now a world power in tourism and gaming. Casino gaming activity was what fueled the development of hotels and resorts, and business travel contributed to the transformation of the region,” he said.

This business model, according to him, guarantees investment in tourism. “Reserving 10% of the area for gaming and the remaining 90% for infrastructure dedicated to arts, shows, congresses, fairs and events is quite interesting.”

But we must reposition Brazil in these segments in the southern hemisphere, as it is in the northern hemisphere where the major world events take place. I defend the implementation of casinos in resorts at this time, requiring high investments, in order to expand the offer to other options in the future,” he commented.

Brazil has tourism as one of its major industries, but it needs infrastructure and everything else to make the activity take off. “We cannot be afraid to return to having casinos in Brazil as one of the tools of this industry”, he defended.

We need to evolve in this direction, as only Cuba and Islamic countries do not have a law for gaming. I therefore defend the implantation of casinos in Brazil”, making it clear that “we are in a hurry for the approval of resort casinos.” According to him, "Brazil has the technological conditions to control the activity," contrary to what opponents of the sector say.

José Odécio, financial director of the ABIH - Brazilian Association of the Hotel Industry, stated that “the project is important for the development of tourism. The hotel sector is a promoter of the activity of casinos, but national businessmen cannot be prevented from investing in the activity,” he said, referring to the opening of only large integrated resorts.

Senator Irajá supported ABIH's position in the sense of allowing national entrepreneurs to participate in the business with their investments, noting that “our objective is to promote the national tourism industry. Foreign investors will be welcome, but if we can encourage and strengthen entrepreneurs already established in the country, it is undoubtedly very important for us to have a strengthened national industry in the process of integrated resorts.”

Antônio Lobo Vilela, from the OAB/DF Gaming Law Commission, explained, based on his experience as a law professional based in Macau, the concept of casinos as well as other verticals, access rules, supervision of the activity and search for commitment of operators to responsible gaming. For him, a well-defined regulatory framework and within an adequate inspection program is ideal, “under penalty of illegal gambling cannibalize legal gambling. By being on the sidelines, illegal gambling competes in more favorable conditions as they operate with a significantly lower operating cost,” he said.

According to him, the implementation of casinos in Brazil should not be restricted to integrated resorts, "since many regions, especially in the most remote ones, such a complex is not economically viable nor is it capable of attracting investors to casinos in integrated resorts."

The lawyer commented that currently the most expensive casino resorts in the world are in Macau. Venetian Macau, for example, involved investment 12 times greater than the minimum amount stipulated by the regulatory bodies. “Data from 2016 showed that 6 of the 11 integrated resorts with the highest investments are in Macau,” he said.

For him, all the rules must be very clear from all points of view, and "should determine public policies related to the activity, best practices, definition of the tax issue and, after listening to society, create a consistent law for the activity."

Senator Irajá stated that he is not personally fond of gaming, but understands that a specific model such as the one in his project has the casino as one of its activities, but added to several attractions. “I am not proposing a general liberation,” he said, stressing that his objective is to contribute to the development of tourism. “We want to generate a new business environment in Brazil, a successful model across the planet, with several successful examples, such as Las Vegas, Singapore and Macau. We need to follow these examples.”

It is not possible that the whole world is wrong and only Brazil is right to ban resorts integrated with casinos,” he said. "Our project foresees the implantation of a resort integrated by state, with total investments in the order of BLR 44 billion injected into our economy over five years and we expect BLR 16 billion in tax collection per year."

Irajá asked for support for his project, saying that it “is strategic for our economy and for tourism in Brazil. It will be a watershed for the tourism sector. We intend to approve the bill at the start of legislative work in the Senate. The president of the Senate, Rodrigo Pacheco, has a very favorable personal position for the project and is willing to guide the project so that the House, in a democratic manner, discusses the topic,” he concluded.

Source: GMB