On Friday, President Lula enacted a decree aimed at combating illegal betting while enhancing Brazil's regulated market. The measures signify a progressive step for the National Association of Lottery Operators (ANJL) in safeguarding legal betting operations. This initiative stems from ongoing collaboration among the Secretariat of Prizes and Bets (SPA), regulated sector representatives, and other stakeholders involved in addressing this issue.
During a press conference, Justice Minister Wellington César Lima revealed alarming data showing that 25.2 million Brazilians engage with illegal betting websites. According to ANJL President Plínio Lemos Jorge, these figures highlight the magnitude of the challenge and underscore the need for the improved inspection measures introduced by the decree.
Lemos Jorge emphasized that the illegal betting market poses risks to consumers, circumvents taxation, and creates an uneven playing field for compliant companies. He noted, “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.”
The SPA has played a crucial role in solidifying the sector's regulation and enhancing state efforts against illicit operators. Lemos Jorge underlined that the decree enhances the state’s capacity to target not only illegal entities but also the supporting structures that facilitate their operations.
“Combatting the illegal betting market is a constant challenge,” he continued. “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 Brazilian Institute of Responsible Gaming (IBJR) affirmed its backing for the federal government's initiatives, specifically Decree No 13,033/2026 and Ordinance No 1,766/2026. These regulations set guidelines for blocking funds associated with illegal betting and hold financial institutions, payment companies, and advertisers accountable for tax collection related to unlawful fixed-odds betting.
A report from the Locomotiva Institute in partnership with LCA estimated that the illegal betting market generates about BRL40 billion ($7.7 billion) annually, resulting in a loss of approximately BRL10.8 billion to government revenues. Carlos Lima, president of the IBJR, remarked, “These are resources that are no longer invested in priority areas for society.”
Lima stated that initiatives like this are vital in addressing illegality. He said, “In addition to strengthening public revenue, the measure directly contributes to increasing the safety of bettors. It also protects operators who act in accordance with the law. At the same time, it promotes the integrity and sustainability of the sector in the country, which operates under one of the most modern regulations in the world.”
The IBJR reiterated its commitment to partnering with authorities to foster a secure, transparent, and fully regulated betting environment in Brazil.
