Casino resorts in Brazil could create up to 1 million jobs, says tourism minister

The Tourism Minister Celso Sabino commented very positively that “as with any major economic activity that mobilises large investments, we're going to see job creation in the implementation phase and during execution. We expect to generate around 600,000 to 1 million direct and indirect jobs when we have all the integrated resorts up and running".

Bill 2.234/2022, which regulates gambling in the country, also provides that casinos can be installed in high-end resorts or boats as part of an integrated leisure complex with hotels, meeting and event venues, restaurants and shopping centres.

The text was approved on the 19th by the Constitution and Justice Committee (CCJ). The proposal will now be analysed by the Senate. Among the rules, the bill establishes that the casino must have a maximum of 20 per cent of the built area of the resort complex. Electronic games, roulette, card games and other authorised games can be played there.

Sabino's speech came during the seminar ‘Challenges of regulating betting and casinos’, organised by Editora Globo with the support of the Rio de Janeiro state government. He discussed the bill alongside Senator Irajá (PSD-TO), rapporteur for the text, and representatives from the sector.

San Paulo could have up to three resorts with casinos

According to the minister, the idea is for each state with up to ten million inhabitants to have at least one large integrated resort. More populous states, such as São Paulo, could have up to three casino resorts.

Sabino took the opportunity to emphasise the importance of tourism as a cross-cutting sector that generates jobs in various activities. The regulation of casinos, according to the minister, will have a positive impact on the Brazilian economy.

The minister emphasised the international interest in the Brazilian market, citing Hard Rock Café as one of the players in the sector that injects billions into the construction of tourist complexes.

"They build hotels with theatres, convention centres, shopping malls, thousands of flats and casino areas. They usually bring the world's most famous artists to the inauguration of a complex like this - said the minister, citing recent concerts in Brazil as examples of the potential for attracting audiences.

“I keep thinking: Taylor Swift performed in both states (Rio de Janeiro and São Paulo). You saw how many people flocked to get into her concert. The same happened with Madonna's concert. These groups aren't just going to exploit the casino. They're going to make a US$ 1 billion, US$ 2 billion venture. They're going to bring these artists to perform” - he commented.

Sabino also emphasised the positive prospects in terms of job creation and tax collection with the regulation of casinos. According to him, the granting of concessions for casinos should generate a collection of the Contribution for Intervention in the Economic Domain levied on the commercialisation of games and betting (Cide-Jogos) of around R$ 22 billion.

“These funds will go into the Treasury and will be used for public policies. The legislature has already established some priorities, such as a percentage for promoting Brazilian tourist destinations abroad through Embratur, as well as providing for how much of the revenue will go to sport, public health, and preventing and combating compulsive gamblers”,  he explained.

The minister also warned of the opportunity for the country to create a balanced regulatory environment, avoiding mistakes made by other countries that didn't take precautions to deal with compulsive gambling when creating legislation.

“Brazil can't keep having such an unfavourable environment, but it also can't bring in (regulation) in such an unbridled way. England has it, but the vast majority of countries haven't taken such care with prevention and treatment (of gamblers' compulsion to gamble”, he concluded.