Brazil Gambles on the Future: Senate Bill Breathes New Life into the Nation's Gaming Scene

Key Takeaways

• Brazil's Senate Constitution and Justice Committee approves a bill to legalize land-based casinos, revoking a 1946 ban.
• The bill proposes a limit of one casino per state, with exceptions for larger cities based on population.
• Senator Iraja Abreu champions the bill, highlighting potential economic benefits and job creation.

RIO DE JANEIRO – In a historic vote that could forever alter the Brazilian gaming landscape, the Senate Constitution and Justice Committee (CCJ) has given the green light to a groundbreaking piece of legislation. By a narrow margin of 14-12, bill 2,234/2022 was approved, signaling a potential end to the 1946 Decree Law that effectively banned casinos and instant-win gambling in the country.

This decisive move paves the way for the bill to progress to the House Plenary, with high expectations for it to then receive presidential sanction. Spearheaded by Senator Iraja Abreu, the legislation seeks not only to legalize gambling but to ensure it is regulated properly, creating a safe environment for Brazilian residents to engage in gaming activities.

While the bill's current form does not specifically mention the inclusion of blackjack or other table games, the authorization for the construction of land-based casinos is seen as a major win for the Brazilian economy. Senator Iraja Abreu has been vocal about the multifaceted benefits of this initiative, citing the creation of both direct and indirect jobs and an anticipated $18 billion boost in revenue.

"No country that legalized gambling has gone back on regulating the activity, which shows that the benefits are visible," Senator Iraja remarked, emphasizing the advantages of tax collection and formal job creation. He pointed out that currently, the jogo do bicho – a traditional Brazilian lottery-like game – alone provides over 1 million informal jobs, while illegal gaming operations continue to evade taxation.

Under the proposed legislation, each Brazilian state would be entitled to host one casino, with allowances made for larger cities based on their population. Notably, Amazonas, Minas Gerais, Parana, and Rio De Janeiro could see up to two casinos each, while Sao Paulo, with its larger population, could be home to three.

Though the bill does not yet outline plans for the inclusion of real money blackjack or other specific table games, the legalization of casinos, bingo, jogo do bicho, and horse racing betting represents a significant leap forward for Brazil's gaming industry.

As Brazil stands on the cusp of a new era in gambling, the bill's progression through the legislative process will be closely watched by supporters and critics alike. With the potential to transform the country's economic and social landscape, the stakes could not be higher for Brazil's gamble on the future of gaming.