Brazil Government Readies Provisional Measure to Ban Online Casinos While Sparing Sports Betting

Brazil’s government is preparing a Provisional Measure that could prohibit online casino games as President Luiz Inácio Lula da Silva intensifies his campaign against betting platforms. The final scope has not been confirmed.

Reuters reported that the measure would target online casino operations but would not cover sports betting or sponsorship agreements involving clubs and competitions. The same authorised operators typically offer both products.

Brazil has 188 authorised operators. Treasury data showed the government collected almost R$10bn in licensing fees and taxes from the sector in 2025. Casino games generate roughly three quarters of sector revenue.

The proposal is expected to be considered after Lula returns from the UN General Assembly, with 23 September reported as the next key date for discussions. Folha de S.Paulo reported on 21 September that Lula had placed opposition to betting platforms at the centre of his re-election campaign.

On 18 September, Lula said he personally wanted to end betting in Brazil, although the government has continued to weigh the legal and economic implications of further restrictions. This follows publication of Portaria SPA/MF No. 2,750, which strengthens controls on financial transactions associated with unauthorised betting operators.

Scope of the Proposed Ban

The Provisional Measure under discussion focuses on online casino games alone. Sports betting and related sponsorships would remain unaffected according to current reports. Integrated operators nonetheless face material revenue exposure given the dominance of casino products in their portfolios.

Sector Concerns and Next Steps

Industry representatives have warned that a ban could trigger litigation or compensation claims while reducing tax receipts and operators’ capacity to fund sports sponsorships. The sports sector has expressed concern over potential effects on commercial partnerships. The regulatory path ahead hinges on economic and legal reviews that will shape any final restrictions after the September 23 discussions.

Reporting: G3 Newswire

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