× Gambling News In-Depth iGaming Calendar Connections GI Friday Trafficology GI Magazine
GGA 2020 AffiliateCon
NEWS 12 September 2017

Brazil set date and price for lottery auction

By Harrison Sayers
The Brazilian government will be selling off one of its instant lottery units in an attempt to reduce government economic intervention and the country's budget deficit. The sale of the concession will raise an estimated REAL 2b (£482m).

Brazil is currently in a political period of austerity focusing on a large budget deficit exacerbated by the government’s decisions to hold both the Olympics and FIFA world cup tournament which both required large scale government investment.

Bank development firm BNDES has been given control over the sale. They will be organising an auction for Loteria Instantanea Exclusiva (LOTEX) which has been operated by the Brazilian state authorities. Although discussions surrounding the sale of LOTEX have occurred frequently in recent years, it wasn’t until last month that Michel Temer made the plans official.

The sale forecast is set at double the minimum auction price, with the hope that the money raised will go directly into the government’s attempts to reduce the current REAL 159bn deficit.

However, the auction, which isn’t scheduled to take place until December, according to Finance Ministry secretary Mansuetto Almeida, will not be included in the country's budget for the 2017 budget.

Almeida tweeted: “If the proceeds come in 2017, great. But those resources are not in this year’s budget”.

The lateness of the sale is important as it proves the decision is not fully driven by a need to raise instant funds and is somewhat ideologically driven as Brazilians look to steer their government away from large scale economic intervention.

The sale represents a great opportunity for foreign investors who still view Brazil as huge emerging market. The winner of the auction will inherit one of the only current legal forms of gambling in a nation of 207 million people.
RELATED TAGS: Financial | Legal & Regulatory | Industry
IN-DEPTH 30 January 2020
CEO Special 2020: BetConstruct/VBet - The long game

Systems and Software
We have partnered up with deVRealm in a joint venture for the development of new gambling technology platforms. The primary ...
PR and Marketing
ActiveWin has ripped up the rulebook on the traditional agency prototype. Our model is based on performance - as you ...
Systems and Software
The Leading iGaming Software Supplier in Asia
1xPartners is the innovative and exciting affiliate program offered by 1xBet, one of the world's leading sportsbooks and casinos. Offering ...
Newgioco Group
Systems and Software
Newgioco Group, Inc. (OTCQB:NWGI) is a premier leisure betting technology company providing regulated online and land-based gaming and sports ...
Zimpler provides a complete In and Out payment solution for online services. That means we take care of identifying the ...
Digital Isle of Man
Legal and Jurisdictions
Digital Isle of Man is responsible for the thriving Digital sector in the Isle of Man, spanning the Island's international ...
Systems and Software
BetConstruct is a global award-winning technology and services provider for online and land-based gaming industry. BetConstruct's innovative and proven offerings ...
Global Gaming Awards
Industry Awards
The Global Gaming Awards London recognise the most innovative companies and individuals of the gaming world. The Awards are powered ...
Systems and Software
NSoft is an award - winning internationally recognized software solutions provider for betting industry. The company has more than 200 employees ...