Congress in Porto Alegre discusses municipal lotteries as a source of revenue.
The II National Congress of Municipal Lotteries in Brazil brings together authorities, experts and representatives of the sector to discuss the regulation of municipal lotteries as a source of revenue for Brazilian municipalities. The event takes place in Porto Alegre until this Wednesday (11), starting on Tuesday (10) at the Plaza São Rafael Hotel.
The meeting, in its second edition, mainly addresses how lotteries can become sources of revenue for municipalities. Among the central themes is the Supreme Federal Court's ruling that defined the nature of lotteries as a public service for federative entities and established the need for bidding for operation by private agents.
For years, municipalities remained on the sidelines of discussions about gaming, but now they are seeking to position themselves in the sector to obtain financial and social benefits for their communities. The choice of Porto Alegre as the venue for the congress coincides with recent advances in the city in this area, which has already enacted a law establishing its own municipal lottery.
Cities like Canoas and Porto Alegre have already made progress in creating their own lottery operations. Data presented at the event reveals that Brazil currently has more than 12 illegal gambling websites, while only 200 are in the legal market.
The president of the National Association of Municipal and State Lotteries (Analome), Camilo Roma de Brito, highlighted the importance of regulation: “The lottery is a source of income. If the municipality doesn't have one, some company licensed by the State or the Union will occupy this space. The municipality will only bear the burden of the game, not the benefits.”
Brito also stated that "The lottery serves to legalize these grey area websites and also street gambling."
In addition to municipal initiatives, a bill is being processed in the Legislative Assembly to create a state lottery in Rio Grande do Sul, with funds earmarked directly for healthcare.
João Motta, lawyer, consultant, and partner at Tech Gaming 360, a pioneering company in the sector, defended the creation of municipal lotteries: “It’s a market that exists throughout the country. Where there isn’t a strong state lottery, the natural order is for municipalities to have their own lotteries. It’s a market that will mature even further. We’re talking about billions of reais in potential revenue if it were operating in all units. It’s the role of the federative entities to implement robust and objective responsible gaming policies to prevent gambling addiction and bring entertainment to their citizens, and that this money be reinvested in health, education, and security.”
