The Senate of Brazil has authorised a Commission of Inquiry (CPI) to investigate the financial impacts of the upcoming Bets regime, which will regulate fixed-odds betting and online gambling in the country.
Senator Soraya Thronicke, representing Mato Grosso do Sul, initiated the request for the inquiry and gained the support of 30 senators to launch the “CPI of Bets.”
According to SBCNoticias, Thronicke called for the CPI to assess how gambling affects the finances of Brazilian families.
This request follows alarming findings from the Central Bank, revealing that recipients of Bolsa Família, Brazil’s financial aid program for low-income families, spent BRL 3 billion (€500 million) on gambling, as tracked by the PIX payment system.
Concerns about the financial risks of the Bets framework have prompted the government to carefully oversee the launch of federal fixed-odds betting and online gambling.
In a meeting with senior ministers, President Inácio Lula da Silva warned that he would shut down the Bets market if it threatens Brazil’s poor and vulnerable. The PT government is working to secure stronger protections for the Bolsa Família fund and ensure safeguards against problem gambling.
The CPI has 130 days to assemble a legislative team and conduct a thorough investigation into the financial risks of the Bets market.
Senator Thronicke urged the CPI to focus on how online gambling increases financial liabilities and debt among consumers.
She also expressed concern that gambling software may be designed to exploit users for the benefit of online betting companies. In addition, she recommended that the CPI examine the effectiveness of safeguards against money laundering and currency evasion within the Bets framework.
Senators supporting the inquiry called for a closer look at how gambling contributes to addiction. Both opposition and government-aligned senators agree that the CPI is urgently needed to clarify the effects of gambling on Brazil’s economy and its population.
As the Bets regime’s launch nears, it remains a priority on the Senate’s agenda, with senators pushing for measures to ensure the market’s proper regulation.
Senator Alessandro Vieira proposed banning or limiting gambling for individuals listed in credit protection systems.
Senator Eduardo Girão seeks to prevent celebrities from endorsing gambling at sports events as concerns on advertising have arisen due to country singer Gusttavo Lima and influencer Deolane Bezerra, coming under investigation for alleged gambling-related crimes.
Ahead of the 2025 launch of the Bets regime, senators have voiced concerns over the growing debt among poor families due to gambling, which reportedly exceeds 35%. However, the Ministry of Development disputes this, citing a 0.6% rise in retail sales in July 2024 as evidence that gambling has not hurt retail sales or increased family debt.