Senator Irajá (PSD-TO), the rapporteur of the bill that allows the operation of casinos, bingo halls, and the jogo do bicho lottery in Brazil, told Valor that the Ministry of Finance is “one of the biggest enthusiasts” of the matter. The parliamentarian projects a revenue of up to R$ 40 billion (US$ 7.5bn) with the regulation of gambling and believes that Brazilian tourism will double the number of visitors within eight years of the new legislation taking effect.
Irajá is confident in the approval of the bill, which is scheduled for a vote this Wednesday (12) in the Senate's Constitution and Justice Committee (CCJ). The expectation is that the plenary deliberation will take place before the parliamentary recess on July 18, after which it will be sent for presidential sanction. The text has already passed the House of Representatives.
In an exclusive interview with Valor, Irajá reported that Finance Minister Fernando Haddad is in favor of the project. “They [the Ministry of Finance] are among the most enthusiastic. I see the social side of the project, and the Finance Ministry, as is its duty, looks at the economic side. The revenue will be something fabulous for the country,” he declared.
Although the Finance Ministry does not publicly advocate for the project, Irajá says that, privately, “Haddad says he is in favor because he understands it is good for the country.”
Tourism Minister Celso Sabino, on the other hand, is pointed out by the rapporteur as “one of the great supporters” of the text.
“[The Tourism Minister] is very excited and confident also in the approval of this matter. We are betting heavily that Brazil will have integrated resorts as a major anchor for global tourism and can double the number of tourists within five to eight years,” said Irajá.
To Valor, Sabino confirmed that he has been following the progress of the bill. He mentioned that he has received international investors interested in investing in the country to build resorts with casinos in various regions.
According to the minister, there is an agreement between the government and legislative leaders for the topic to advance. “There is full enthusiasm and agreement between the Tourism Minister, Arthur [Lira], [Rodrigo] Pacheco, Davi [Alcolumbre], and the rapporteurs to approve this project,” Sabino explained.
“The release of integrated resorts in the country will allow national tourism to experience a different reality, a new moment, with many more tourists traveling around the country, generating thousands of new jobs and billions of reais in investments,” he added.
Despite resistance from the evangelical caucus, which is mobilizing to reject the text, Irajá believes the project will advance. The barometer, in his view, was the vote on the project that legalized online gaming at the end of 2023.
“This topic of gambling is not unanimous, not by a long shot. We know this and do not expect a large margin of victory. But, in conversations with the parties and colleagues, I believe we will have a majority vote.”
Senator Carlos Viana (Podemos-MG), president of the Evangelical Parliamentary Front, reinforced that the caucus will remain against the project. “There is no way we can support gambling. It will only serve to launder money. We understand that the money generated from this regulation does not compensate for the harm it brings to society,” he argues.
For the rapporteur, the project is subject to a “prejudiced” and ideological view by some colleagues. “I think there is a certain prejudice. Many argue about capital flight and tax evasion. Because it used to be thought that people would go to an integrated resort, to a bingo hall, take a suitcase of money and play. That doesn't exist anymore. Today, the whole process is electronic,” he pondered.
“As for the issue of addiction, today anyone with a cell phone can gamble. If they do not gamble here in the country to generate tax revenue here, they will gamble elsewhere. I respect opinions, but the arguments do not hold. I do not know of a civilized country that has regulated gambling and then reversed it,” he added.
The rapporteur made only editorial adjustments to the text approved by the House, not substantive changes (which would send the matter back to the House). One of these adjustments removes the provision that the resorts where casinos will be installed must be built from scratch and provides that it is enough for the buildings to be “intended” for this type of activity.
“We are going to promote an editorial adjustment by changing the word ‘built’ to ‘intended.’ It can be a new project or a pre-existing one. We cannot eliminate the prospect of exploiting the national enterprises that already exist.”
Asked about the number of licenses for operation being tied to the population of states and municipalities, Irajá argued that the limitation was a way to make the project move forward. According to the text, each state will be entitled to one casino, except São Paulo, which may have three, and Rio de Janeiro, Minas Gerais, Amazonas, and Pará, which will have a maximum of two. For the jogo do bicho lottery, the forecast is one point for every 700,000 inhabitants, and for bingo halls, the rule is one for every 150,000 people.
“I think the market should define the quantities. Because the companies that will make these investments will say if it is viable. That said, as it is a new thing and we are facing so much prejudice and resistance, we opted for a more conservative project. If it works, the trend is to expand these licenses,” he said.
Irajá sees the regulation of the jogo do bicho as positive and is not afraid that the new rule could interfere in possible disputes among current operators of the modality. “This dispute has always existed, and we are not here to arbitrate that. We are going to organize it by bringing to legality what is currently illegal. What we cannot do is pretend it doesn't exist,” he stated.
The rapporteur also explained that if the jogo do bicho is regulated, the illegal operation of the modality will no longer be classified as a misdemeanor, becoming a crime.
Irajá stated that the regulation of the National System of Games and Bets (Sinaj) will be the responsibility of the Executive Branch.
“There is a discussion about whether the Ministry of Tourism will be able to point out the licensing location or if it will be the Ministry of Finance,” said the rapporteur.
Contacted, the Ministry of Finance did not comment.
Source: Valor