Brazil prepares executive order to enforce an online casino ban

The Brazilian administration is drafting an executive order to prohibit digital casino operations across the country, aiming to address mounting public anxiety regarding household finances. 

President Luiz Inacio Lula da Silva is expected to endorse the final decree ahead of the initial round of general elections on October 4, Reuters reports. Both the president and several right-wing political opponents have repeatedly targeted digital gambling during campaign speeches, as voter surveys highlight widespread concern over economic stability.

Under the proposed measures, the online casino ban in Brazil will focus exclusively on games of chance, including popular digital slot titles such as Fortune Tiger, alongside regular games like roulette, blackjack and live casino streams. Crucially, the prohibition will not extend to fixed-odds sports betting or commercial sponsorship deals with athletic clubs and competitions, Reuters says.

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The Finance Ministry calculates that Brazilian citizens spend approximately 60 billion reais (US$11.7 billion) annually on gambling. Banking institutions and commercial organisations have warned that interactive gambling is diverting essential funds from routine consumer purchases and domestic utility bills. Although the authorities implemented various safeguards to prevent unsustainable personal debt, expenditure on internet wagering has escalated dramatically.

Economic impact and scope of the online casino ban in Brazil

Industry representatives are voicing strong objections to the prospective policy. According to the National Association of Gaming and Lotteries, internet casino activity accounts for three-quarters of total revenues for the 188 authorised operators currently active in the nation. The trade body maintains that any online casino ban in Brazil ought to be delayed until comprehensive studies evaluate the legal and financial ramifications for businesses holding valid operating permits.

Government officials concede that implementing an online casino ban in Brazil will significantly curtail operators’ earnings, thereby diminishing athletic sponsorship funds and public revenue.

Treasury records cited by Reuters indicate that the state collected nearly 10 billion reais during the previous year through licensing fees and taxation across the sector. While fixed-odds sports wagering was initialised legally in 2018, full regulatory frameworks were finalised under the Lula administration in 2024. Consequently, separating casino games from sports betting presents distinct operational and fiscal challenges for both the state treasury and commercial entities.