Banning betting ads boosts illegal market growth in Brazil - ANJL

Banning betting ads boosts illegal market growth in Brazil - ANJL

The betting ecosystem in Brazil is currently experiencing a period of high legislative tension. The National Association of Games and Lotteries (ANJL) has expressed deep concern regarding the bills currently being debated in the National Congress, specifically PL No. 3,563/2024 and PL No. 624/2026. According to the entity, the intention to restrict or prohibit advertising for authorized sportsbooks will not protect citizens; instead, it will create a counterproductive effect by making law-abiding companies invisible and handing market control to clandestine platforms.

The concern stems from the fact that the illegal market already has a suffocating presence in the country, capturing approximately 52 percent of the total betting volume. These platforms operate off the authorities' radar, without paying taxes or offering minimal security guarantees. By eliminating the possibility for legal companies to differentiate themselves through communication and marketing, legislators would inadvertently be pushing users towards environments that do not prevent access by minors or have policies to prevent excessive indebtedness.

The Economic Cost of Clandestinity

Beyond the social impact, ANJL presented compelling figures that directly affect the National Treasury. Estimates from the Ministry of Finance suggest that if the illegal market continues to advance under an advertising prohibition scheme for licensed operators, the Brazilian state could lose approximately 80 billion reais in revenue over the next five years. This amount is significant, as it includes resources that by law should be allocated to strengthening public security, culture, and sports promotion.

Conversely, the regulated sector has already demonstrated its financial commitment by paying 2.6 billion reais solely in license fees. Furthermore, the legal industry is projected as an employment engine capable of generating 100,000 jobs in strategic areas such as cutting-edge technology, digital payment methods, and specialized marketing.

Tags: Brazil, Brazil gambling advertising, Brazil gambling regulation, ANJL