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Reports suggest online casino ban increasingly probable in Brazil

With Brazil's general elections approaching, President Lula's rush to tighten regulations on the online gambling sector is drawing increased attention.

· 2 min read
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Key Points
The Brazilian Government is preparing an executive order that would ban online casinos, with President Lula expected to sign before the October 4 general elections
The proposed ban would not affect sports betting or sponsorship deals involving sports clubs and competitions, according to sources cited by Reuters

Brazil’s Government is reportedly preparing an executive order to ban online casinos, with the President expected to sign off on the final text before the first round of general elections on October 4.

President Luiz Inácio Lula da Silva has repeatedly stated his desire to enforce some kind of ban on online gaming, the point where any repeated claims have lost any newsworthy value.

However, in this latest update, Global Gaming Insider notes two key distinctions.

Reuters has cited anonymous sources familiar with discussions within the Presidential office. These sources indicate that a potential ban would exclude sports betting and sponsorship agreements connected to sports clubs and competitions, and before the election.

Previously, Lula repeatedly supported ending online sports betting platforms, calling them "a harm to society." His criticism seems to have shifted toward casinos exclusively, as sports betting has reportedly been spared from recent targeting.

Lula’s "personal willingness" to target the industry has repeatedly surfaced over the course of the year, although concrete action has been lacking so far. The President now seems to be rushing to act before elections. Reportedly, sign-off on the order is now seen as likely.

Brazilian operators typically cover both sports betting and online casino, since licenses granted by the government last year mostly include both. Officials do acknowledge that banning online casinos, while preserving sports betting, would significantly reduce operators' revenues and impact both sports sponsorship spending and Government tax receipts.

Earlier this month, Brazil industry groups representing licensed betting operators have published open letters pushing back against a possible presidential decree restricting the sector.

With the Brazilian Presidential elections on the horizon, candidates across the political spectrum have discussed proposed measures for the betting sector. Flávio Bolsonaro included a pledge to ban the use of federal social program funds on betting platforms in the government platform he filed with the Electoral Court.

Good to know

General elections in Brazil will begin on October 4, 2026, to elect the President, Vice President, members of the National Congress, governors, vice governors and legislative assemblies across all federative units

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