VIE 29 DE MARZO DE 2024 - 09:46hs.
OPINION - Bruno Omori, ABIH-SP and IDT-CEMA President

Approval of gaming sector as a Macroeconomic Policy

Today's agenda is the approval of GAMING/CASINOS that have an impact on Brazil's macroeconomics, because with its approval without limiting a specific gaming model (integrated resort casino, casino hotel, urban casino / bingo, online gambling, among others), its location (where it can be installed) and its quantity, we will have investment and growth opportunities that can actually impact the economy of our country.

Why we started by putting the approval of GAMING / CASINOS as macroeconomic public policy?

For making sure that just as the reforms of Social Security, Politics, Tax among others are essential to promote economic growth and development in Brazil, it is necessary to create and strengthen other segments to promote the expansion in income generation, taxes and jobs. Of course, agriculture is the first export product and GDP generator, but it is not enough to actually change the current level of very low growth and the devastating level of unemployment in the country.

Every day, we approach that TOURISM is one of these segments that can transform
an economy if it is placed as public policy as a factor of development economic as it already exists in countries like USA, France, Spain, Mexico, Dubai, among others.

Today's agenda is the approval of GAMING / CASINOS with impact on the macroeconomics of Brazil, because with its approval especially of a liberal legislation without limiting a specific gaming model (integrated resort casino, hotel casino, urban casino / bingo, online gambling, among others), and defining the locations (where it can be installed) and how many can be allowed, we will have opportunities for investment, development and economic growth. We will present a model of great potential for all types of cities and tourist destinations, with the ability to actually impact the economy of our country.

I present some data and conclusions of this thesis:

  • There is an initial estimate of foreign investment in Brazil of around US$ 70 billion. Initially analyzing this amount, first we heat the real estate market with appreciation and sale of land, we move to the architecture, engineering and construction of the projects, we enter the follow in furniture, decoration, lighting, security, graphics, general industries, automation, technology, equipment for casinos, restaurants, hotels, shopping malls, convention center, theater that are aggregated in these segments. And, finally, the own operation with management companies in the hotel, gastronomy, events, entertainment, cleaning, security, technology, gaming and other operations and all their inputs and hiring for their operation. In addition to considering that we will also have investments in the domestic market of billions of reais that will be added to the above mentioned international.

 

  • Within this scenario, from the initial investment to the operation in the whole process will generate jobs in the 6 or probably 7 digits, activating the vast majority of the economic segments of the country, besides generating billions of reais in taxes, in all segments of the economy. And we know that the public machine is broken.

 

  • Integrated Casinos Resorts (Las Vegas, Macau and Singapore) are major players worldwide with investments of over USD 1 billion. And in its structure, they have over 2,000 uhs, convention center, shopping mall, theater, concert hall, restaurants , parking lots and large leisure area, being considered as destination hotels directly generating thousands of direct jobs and inducing business tourism, shopping, leisure, MICE, gambling and entertainment flows to the destination.

 

  • Casino Hotels (Europe and South America) are smaller casinos, with local investors and smaller foreign funds. They are more exclusive and developed in hotel projects that can be installed in any type of city and that also add differentials to boost jobs and destinations.
  • Urban Casinos or Bingos are ventures for domestic investors and smaller international funds from US$ 2 to US$ 100 million, with the potential to democratize more visitors. They are medium in size and as they can be installed in any town and city, they can be a great potential generator in a small town attracting new audiences to complement the local attractions, because they also have gastronomy and entertainment options.

 

  • It must be considered that in the whole world, for example, in the G20 all Christian countries have Casino/Gaming except Brazil and 2 others that are Islamic, that is there is no type of gaming. It is worth considering that the activity also exists in Brazil, the legal (lotteries, Telesena, jockey) generate revenue of R$ 14.2 billion (US$ 3.5bn), and illegal gambling (jogo do bicho, bingo, slots and online) R$ 19.9 billion (US$ 4.95bn). In Casinos alone we have more than 6,800 in the world, the US alone in gaming generates US$ 240 billion and in tourism US$ 210 billion in exports.

Conclusion my friends, if we work on TOURISM and GAMING/CASINOS, as well as other segments outside the current common box, putting in fact as public economic policy, to generate employment, work, investment, income and currency; we can really afford to apply to education, safety and health that are the foundations of society.


Bruno Omori
President of the Brazilian Association of Industry and Hotels of the State of São Paulo (ABIH-SP) & President of the Institute of Development, Tourism, Culture, Sport and Environment (IDT-CEMA)