Brazil’s Ministry of Finance has made significant progress in regulating its growing gambling industry by introducing the Secretariat for Prizes and Betting (SPA). This move is part of a broader government initiative to enhance control and bring legal oversight to the fast-evolving gambling landscape within the country.
The drive for regulation is supported by Law No. 14,790 of 2023, enacted by President Luiz Inácio Lula da Silva. This law addresses fixed-odds betting intricacies and introduces significant changes to existing laws, including taxation criteria, rules for commercial exploitation, revenue distribution mechanisms, and sanctions.
The SPA’s main focus is the efficient regulation of the fixed-odds sports betting market, encompassing sports betting and online gambling. The secretariat will also manage processes related to lotteries and commercial promotions, while working with anti-money laundering initiatives. Additionally, the SPA will establish and enforce responsible gambling policies to protect vulnerable groups, especially minors.
The Ministry of Finance will host eight secretariats, with the SPA being a key player. Structurally, the SPA will operate through three key sub-divisions: Authorization, Monitoring and Inspection, and Sanctioning Action, involving 38 professionals dedicated to creating a safe and sustainable market.
The enactment of Law No. 14,790 fills a regulatory void that persisted for years, ensuring transparency and oversight in the gambling sector. The SPA’s activities will align with the Ministry of Sport, particularly in matters related to sports integrity, including monitoring result manipulation in sporting events and overseeing athlete, club, and sports management transfers.
As Brazil takes this proactive step in instituting the Prizes and Betting Secretariat, the country’s gambling landscape will undergo a transformative journey. The focus on transparency, responsible gambling practices, and effective oversight aims to create a secure and regulated environment. With the SPA at the helm, Brazil is entering a new era of regulated and accountable gambling practices.