Brazil's Lula Bans Online Betting as Election Race Tightens
By Global Leaders Insights Team | Sep 26, 2026
Brazilian President Luiz Inacio Lula da Silva has ordered a ban on online betting operations, reversing rules introduced by his government less than two years ago.
The order takes effect immediately but must be approved by Congress within 120 days to stay in place.
The move comes just days before Brazil's October 4 presidential election, with polls showing a close race between Lula and Senator Flavio Bolsonaro, the eldest son of former President Jair Bolsonaro.
The betting ban adds another issue to an already closely watched election campaign.
- Brazil bans online betting as Lula government cites gambling and debt concerns
- Lula orders betting platforms blocked as Congress reviews the new restrictions
- Brazil’s online betting industry faces uncertainty ahead of October election
Government Points to Rising Debt and Gambling Concerns
The government says the decision is linked to concerns about the effect of online gambling on household finances. Officials argue that people are spending more money on gambling, leaving less income available for everyday expenses and contributing to household debt.
Finance Minister Dario Durigan has described the growth of betting as a public health concern. The government has also pointed to surveys showing strong public support for tighter restrictions on online betting.
Under the new order, betting companies can keep their websites running until October 5 so customers have time to withdraw any remaining money. From October 6, app stores and internet providers will be required to block access to the affected platforms.
The decision marks a sharp change in Brazil's approach to the Brazil betting industry. Online betting was legalized in 2018 under former President Michel Temer, but the sector operated for several years without a comprehensive regulatory system.
Lula's government introduced new regulations in 2023 to bring Brazil online betting under a formal licensing system. Licensed betting companies began operating nationwide in January 2025 after meeting government requirements and paying the necessary fees.
The government had expected the regulated market to generate tax revenue while giving authorities greater control over betting companies, advertising and consumer protection. The latest decision puts that framework at risk.
Flavio Bolsonaro Questions Timing of the Decision
Flavio Bolsonaro has criticized the ban and questioned the government's reasons for introducing it so close to the Brazil presidential election. He made the comments during a campaign rally in Rio de Janeiro.
The timing has also drawn attention because of the closely fought contest between Lula and Bolsonaro. A Reuters report on an AtlasIntel/Bloomberg poll published on September 23 showed the two candidates almost level in a simulated runoff.
The poll put Lula at 47.7% and Bolsonaro at 47.4%, a difference within the survey's margin of error. In a first-round scenario, Lula received 45.8% support compared with 43.4% for Bolsonaro.
The election is scheduled for October 4, with a second round possible if no candidate receives more than half of the valid votes.
The betting issue comes as both campaigns address concerns over household finances and the wider economy. The government is focusing on the financial risks linked to gambling, while Bolsonaro has challenged the timing and reasoning behind the ban.
The executive order will now go to Brazil's Congress, which has 120 days to decide whether it should remain in effect. The decision will determine whether the country's recently established regulated betting market continues or is brought to an end.
For online betting companies operating in Brazil, the order creates uncertainty over their businesses and investments. For the government, it is a response to concerns about gambling-related debt and its wider impact on families.
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With the election only days away, the Brazil online betting ban has become another major issue in Brazil's political debate. Its long-term impact on the country's betting industry will depend on the decision taken by Congress.




