Brazil's Lula bans online betting ahead of presidential election

Brazil's President Luiz Inácio Lula da Silva has signed an executive order banning all online betting operations, advertising, and deposits, effective immediately. Enacted just over a week before the October 4, 2026, presidential election, the measure targets a severe household debt and public health crisis. While polls show three-quarters of Brazilians support the ban, Lula's electoral rival, Senator Flávio Bolsonaro, has condemned the move as a desperate, politically motivated maneuver.

Provisions of the executive order

• ▪Brazil's President Luiz Inácio Lula da Silva signed an executive order on September 25, 2026, banning online betting operations, offering, intermediation, and advertising in the country
• ▪App stores and network providers in Brazil are required to block online betting websites starting on October 6, 2026

Financial impact of online betting

• ▪The Brazilian Finance Ministry estimates that households spend around 60 billion reais ($11.57 billion) annually on online betting, contributing to rising household debt
• ▪A 2025 study by the nonprofit Institute of Studies for Health Policies estimated that betting and gambling cost Brazilian society 38.8 billion reais ($7 billion) annually

Electoral context and political criticism

• ▪Opinion polls show President Luiz Inácio Lula da Silva locked in a tight race with right-wing Senator Flávio Bolsonaro ahead of the October 4, 2026, election
• ▪Senator Flávio Bolsonaro criticized the betting ban as a populist, hypocritical, and politically motivated electoral measure enacted on the eve of the polls

Household debt relief program

• ▪The Brazilian government's debt relief program targets credit card balances and unsecured personal loans that have been overdue for two to 4.5 years
• ▪President Luiz Inácio Lula da Silva announced a debt relief program in November 2026 to spend 15 billion reais to buy and restructure up to 150 billion reais of delinquent household loans

Efforts to regulate betting

• ▪President Luiz Inácio Lula da Silva signed a law in December 2023 to regulate and tax betting companies for the first time
• ▪In October 2025, Brazilian lawmakers struck down an order by President Luiz Inácio Lula da Silva that proposed tax hikes on online betting and virtual casinos

Public opposition to betting

• ▪Recent opinion surveys ahead of Brazil's October 4 presidential election indicate that approximately three-quarters of Brazilians support a complete ban on online betting
• ▪Public backlash against online betting in Brazil grew during the FIFA World Cup as advertisements became ubiquitous and the number of bettors surged

Soccer sponsorships and betting

• ▪Thirteen of Brazil's 20 first-division soccer clubs feature an online betting website as their main shirt sponsor
• ▪Brazilian soccer clubs and the National Association of Games and Lotteries warned that Lula's online betting ban could end vital sponsorships and drive gamblers to illegal websites

Legalization of online betting

• ▪Senator Flávio Bolsonaro's father, former President Jair Bolsonaro, oversaw a period where online betting snowballed in Brazil while remaining largely unregulated
• ▪Brazil legalized online betting in 2018 during the presidency of Michel Temer, even though gambling is generally illegal in the country

Debatable claims

• ▪Brazil's online betting ban does more harm than good to the country's sports industry
• ▪Brazil's household debt relief program is an appropriate use of public funds
• ▪Lula's online betting ban is primarily a politically motivated electoral maneuver
• ▪Brazil's complete ban on online betting is justified