Brazil's Lula Bans Online Gambling Ahead of Presidential Election
President Luiz Inácio Lula da Silva enacted a provisional order prohibiting online casinos and sports betting, citing addiction concerns and financial harm to families.
Brazilian President Luiz Inácio Lula da Silva has enacted a ban on online gambling, issuing a provisional order that prohibits all sports betting and online casinos just days before the presidential election. Lula, seeking a fourth term, described the industry as a "cancer" that needs to be removed.
The online gambling industry in Brazil was legalized in 2018 and has since been linked to widespread household income losses due to addiction. Lula stated that the industry has "grown without regulation" and raised concerns about inadequate restrictions to prevent children and adolescents from accessing betting platforms.
"We won't allow betting companies to profit at the expense of Brazilian families' income and lives," the president said, recounting instances where families had sold their belongings due to gambling addiction. He also signed a separate bill to penalize criminal offenses related to fixed-odds betting.
The move comes as Lula faces a close presidential race against Flávio Bolsonaro, son of former President Jair Bolsonaro. Flávio Bolsonaro criticized the gambling ban as "populist, hypocritical and politically motivated."
Most forms of gambling, including casinos and slot machines, remain illegal in Brazil, but online betting has seen a significant surge in popularity since its legalization in 2018. A recent survey indicated that approximately 59.9% of Brazilian adults support a ban on internet betting.
The provisional measures must be approved by Congress within 120 days to remain in effect.