Banestes halts state lottery talks following betting ban

Banco do Estado do Espírito Santo (Banestes) suspended talks to create Banestes Loteria following the federal government's publication of a provisional measure banning bets on Friday, September 25, 2026.

The state-owned lender said the pause aims to allow for a legal and regulatory review of the measure's effects, as well as an assessment of its impacts on the business model and the conditions required to proceed. In October of last year, Banestes announced an exclusive negotiation period with Consórcio World Lottery, which was selected after an evaluation of proposal letters and the technical and economic qualifications of interested parties.

Banestes was among at least three state-controlled lenders exploring lottery operations. Banco do Estado de Sergipe (Banese) had launched its Lotese service in May of last year via a consortium formed by Culloden Participações and TSA Informática. Following the provisional measure, Lotese suspended fixed-odds sports betting and online gaming while keeping other lottery formats active. Banco de Brasília (BRB) also pursued lottery partnerships with Santa Casa de Misericórdia de Lisboa and later evaluated options with BTG Pactual, though that process stalled amid the Master case.