For state banks, ‘Bets’ and lotteries are emerging as a way to diversify and expand revenue sources. After all, online betting companies are expected to generate around R$22 billion (US$4bn) in revenue in Brazil in 2025, according to data from international consultancy Regulus Partners, published by BBC News Brasil.
At the same time, however, the federal government has tightened regulations on the sector, given growing concerns over addiction and rising household debt linked to betting. It recently banned Bolsa Família beneficiaries from placing online bets and now seeks further details about Caixa’s upcoming platform, the “bet da Caixa.”
The banks entering this space argue that the business can help increase public revenue, supporting the funding of social programs and public services in their respective states. Indeed, the federal government alone collected R$6.8 billion (US$1.2bn) in tax revenue from 'Bets' in the first nine months of 2025.
Banese
Launched in May, Loterias de Sergipe (Lotese), operated by Banese, offers over 600 types of games, including fixed-odds online betting, numeric prognostics (number draws), and instant games (scratch cards).
Banese aims to become the leader in Sergipe’s lottery market, targeting 50% market share within five years.
To achieve this, the bank entered the sector through a joint venture with Culloden Participações and TSA Informática, which operate BetSul Concessionária de Serviços Lotéricos do Sergipe.
The venture grants a 20-year license to operate Sergipe’s lottery, with Banese holding a 49.9% stake. The agreement was signed earlier this year following a competitive process advised by PwC.
Banese was authorized by the Legislative Assembly of Sergipe and Governor Fábio Mitidieri (PSD) to operate the lottery on behalf of the state government.
During the launch, Banese CEO Marco Antônio Queiroz emphasized that 5% of total lottery revenue will go directly to the state government. The funds are distributed as follows: 35% for social inclusion and welfare, 25% for culture, 25% for sports, and 15% for environmental programs.
“These resources will remain in Sergipe and be invested in improving the quality of life for our people,” Queiroz stated.
He added that the initiative also allows “residents of Sergipe to access safe games, with full transparency and proper oversight” — in other words, to stay away from illegal ‘Bets’.
Banestes
Banestes also plans to launch its own lottery in 2025, offering both traditional lottery games and ‘Bets’, including sports betting, online casino, and slots.
The bank recently conducted a competitive selection process to find a private partner and last week entered exclusive negotiations with the World Lottery Consortium.
“During this exclusivity period, Banestes and the consortium will discuss final contractual terms and complete mutual due diligence,” the bank said in a statement on November 22.
Banestes clarified that “the formalization of the partnership depends on the successful completion of negotiations and there is no guarantee that final contracts will be signed.”
CEO Amarildo Casagrande stressed that the chosen partner must have international experience, proper certifications, and advanced technology for the venture. He expressed confidence that operations would begin later in 2025, generating new revenue streams for the Espírito Santo government.
Governor Renato Casagrande (PSB) authorized the creation of the Loteria do Espírito Santo, a Banestes subsidiary, in 2023. Under the law, up to 12% of lottery proceeds must be directed to the state, with funds allocated to culture, sports, leisure, social welfare, and tourism.
BRB
BRB also attempted to launch its own lottery between 2023 and 2024, but the project was halted after the Federal Prosecutor’s Office (PGR) opened an investigation into the bank’s contract with Santa Casa de Misericórdia de Lisboa.
Although BRB considered seeking a new partner, no progress has been announced since. The bank has not commented publicly on the matter.
Caixa
Meanwhile, Caixa Econômica Federal plans to launch its own ‘Bet’ platform by the end of November. As the operator behind Brazil’s traditional lotteries, such as Mega Sena, Caixa aims to compete directly with private ‘Bets’ and expects to generate up to R$2.5 billion (US$465m) in 2026.
However, President Luiz Inácio Lula da Silva has expressed concern over the potential social and financial harm caused by 'Bets'. The topic is expected to be discussed in an upcoming meeting between Lula and Caixa’s president, Carlos Vieira.
Source: Investidor10
