Online Gambling Criticized by Brazil's Finance Minister
In a significant step towards a more unified and well-regulated gaming landscape, Brazil's government is making strides in controlling both brick-and-mortar and online gambling establishments. The recent efforts, which include increased taxation and stricter regulations, aim to recover an estimated $1.5 billion in lost revenue in 2023 and redirect funds back into the national economy.
Key developments in the online betting sector have been particularly noteworthy. As of mid-2025, Brazil has made significant progress in regulating online betting, with fourteen companies fully licensed to operate platforms, mostly international and local sports betting operators. Another 58 companies hold provisional licenses, expected to convert into full licenses soon, expanding the regulated market offerings.
The legal framework for online betting is still evolving, with the government actively involved. A more recent bill from 2023 has reintroduced iGaming (online poker and casino) into the regulation discussion, showing regulatory expansion beyond just sports betting.
The online betting market is growing rapidly, with estimates of over R$4 billion per year currently, and projections of the market generating about R$30 billion per month in 2025. The government is focusing on generating public revenue from the sector, with recent moves such as increasing taxes on online betting to 18%.
However, the legal framework is not yet fully solidified across all forms of online betting. The Ministry of Economy oversees online betting operations, but many offshore bookies continue to operate pending clearer laws.
The impact on the gambling industry has been substantial, with licensed operators entering the market and the industry experiencing rapid growth. Most Brazilian bettors use licensed international operators or offshore sites, as physical and unlicensed local betting remains illegal. There is significant sponsorship presence by foreign bookmakers in Brazilian football, underlining high interest and betting volume.
A specialized working group was created last week by the government to oversee the authorization of operators, ensure regulatory compliance, and enforce penalties for violations in Brazil's gambling sector. Finance Minister Fernando Haddad has criticized Brazil's online betting industry, condemning previous administrations for failing to regulate advertising or tax betting companies.
Despite resistance from major industry players, Brazil has moved swiftly to enhance its gambling framework, particularly in relation to physical casinos. The government's efforts to regulate brick-and-mortar gambling establishments are a recent development in Brazil's push for a unified and regulated national framework for gambling.
Sources: [1] GamblingCompliance, "Brazil's Regulated Online Gambling Market Progresses", 2025 [2] CalvinAyre, "Brazil's Online Betting Market Set for Rapid Growth", 2025 [3] Reuters, "Brazil Raises Taxes on Online Betting", 2023 [4] The Financial, "Brazil's Online Gambling Regulations: A Work in Progress", 2025 [5] Bloomberg, "Brazil's Online Gambling Market Projected to Generate Billions", 2025
- The government's efforts to regulate online gambling, including casino games, have been driven by a desire to recoup an estimated $1.5 billion in lost revenue in 2023 and direct funds back into the national economy.
- As a result of these regulations, fourteen fully licensed companies are currently operating online gambling platforms, primarily in the sports betting sector, with more to follow soon.
- Despite the progress made in regulating online gambling, significant challenges remain, such as the operation of offshore bookies and the need for a more solidified legal framework in all forms of online betting, as overseen by the Ministry of Economy.
