Brazilian Organizations Back Federal Effort to Combat Illegal Betting Activities
In a decisive move to curb illegal betting practices, key industry voices in Brazil have voiced their support for the government’s latest efforts. The Brazilian Institute for Responsible Gaming (IBJR) and the National Association of Games and Lotteries (ANJL) have publicly backed the government’s strategy to weaken illegal betting by targeting payment institutions involved in such activities.
Last Friday, President Lula signed a decree introducing a series of measures aimed at combating illegal gambling while reinforcing the integrity of the regulated market in Brazil. These initiatives are seen as a significant step forward by industry stakeholders, marking progress in ongoing efforts to formalize and strengthen the legal betting sector. The ANJL views the new measures as a vital part of the broader effort to protect legitimate operators. The move comes after a sustained period of collaboration between the Secretariat of Prizes and Bets (SPA), representatives from the regulated industry, and other key players involved in overseeing the sector.
During a recent press conference, Wellington César Lima, the Minister of Justice, highlighted the scale of the problem. He revealed that an estimated 25.2 million Brazilians have placed bets on illegal websites. Plínio Lemos Jorge, President of the ANJL, emphasized that this staggering figure underscores the immense challenge authorities face and reinforces the need for robust inspection measures.
Lemos Jorge pointed out the importance of ongoing communication and cooperation: “The illegal betting industry exposes consumers to risks, evades taxes and generates unfair competition in relation to companies that comply with Brazilian regulatory requirements. The announced actions represent an important step in strengthening the regulated market. The advances are the result of an environment of dialogue and institutional cooperation that allowed us to gather information, develop tools and expand our understanding of the activities of illegal operators in the country.”
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The SPA has played a pivotal role in shaping the regulatory landscape, establishing mechanisms to enhance state efforts against clandestine operators. The new decree broadens the government’s capacity not only to target illegal betting operations but also to dismantle the financial and infrastructural support that sustains them.
Lemos Jorge added, “Combatting the illegal betting market is a constant challenge. The clandestine industry operates with a high degree of technological sophistication and adapts very quickly, which prevents any definitive assessment of the effectiveness of the measures adopted. What works today may cease to be effective tomorrow. Therefore, this fight needs to be continuous, coordinated and dynamic.”
The IBJR has reaffirmed its commitment to supporting government initiatives, expressing strong backing for Decree No 13,033/2026 and Ordinance No 1,766/2026, regulations designed to block funds linked to illegal betting activities and hold financial institutions, payment companies, and advertisers accountable for tax collection related to illegal fixed-odds betting.
A report by the Locomotiva Institute and LCA estimates that Brazil’s illegal betting market amounts to approximately BRL40 billion ($7.7 billion) annually, causing an estimated loss of BRL10.8 billion ($2.1 billion) to public coffers each year.
