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Brazil – Gambling bill could allow smaller casinos in Brazil’s tourist hotspots

By Phil - 1 September 2021

Deputy Vermelho, who is part of the newly formed working group in charge of updating gambling Bill 442/91, said that only large cities such as São Paulo and Rio de Janeiro would meet the necessary conditions to allow for Integrated Resorts (IRs). However tourist destinations such as Foz do Iguaçu, could be also be considered for smaller casinos as IRs could cause problems for smaller resorts down the line.

Vermelho said that the group had been created to make the necessary adjustments to the project as some articles were outdated as new technologies had emerged during the many years the bill has been on the agenda.

“We are going to carry out the necessary studies to adapt the project to new technologies, make a replacement and streamline the procedure to see if we can approve it this year,” said the deputy. “For cities like Foz do Iguaçu and Gramado, for example, we intend to create tourist casinos with a large structure for games, a restaurant and an amphitheatre. We will take advantage of the excellent hotel infrastructure that already exists, generate more jobs and development,” Vermelho said.

An integrated resort, with around 3,000 rooms, would though cause serious competition with the current hotel chain. “We believe that a casino of this size would have a negative impact on the local network, with bankruptcies and layoffs,” he said.

Vermelho said he wanted to bring together the city’s leaders to hear suggestions that would help in the final drafting of the bill. The bill is finally gathering moment after a commission was charged earlier this month with holding a public hearing to discuss gambling regulation in Brazil. The move was put forward by long time proponent of a liberalisation of the market Deputy João Carlos Bacelar and now President of the Tourism Commission in the Chamber of Deputies.

Bill 442/1991 in the Chamber of Deputies replaces and is in part an amalgamation of as many as twenty other gambling related projects all of which have been discussed since 1991. According to the bill each state would have up to three casino establishments, depending on the state’s population. It would also allow for traditional bingo and video-bingo in casinos, bingo halls, jockey clubs, and football stadiums. Meanwhile slot machines would be only be allowed in casinos.

Caption: Foz do Iguaçu