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Brazil – Transfer of sports betting regulation to Ministry of Justice could cause more delays

Ассоциация Министерство юстиции has claimed as part of its portfolio the regulation of sports betting. The regulation of sports betting until now was has come under the responsibility of the Министерство экономики. The information was revealed to local news portal VEJA by companies working in the sector. The transfer of responsibility from one ministry to another could delay the process until 2023.

The government of President Jair Bolsonaro has until December 12 of this year to finalize the process of regulating sports betting in Brazil, according to the law enacted by then President Michel Temer on December 12, 2018. Закон № 13,756 requires the Ministry of Finance (currently the Ministry of Economy) to promote the regulation of sports betting within a time limit of four years. The bill seeks to raise additional income for the government by green lighting sports betting and gave the Ministry of Finance initially just two years to get sports betting up and running (although this could be extended for a further two).

Delays look likely either way. While Bolsonaro went on record recently saying that the sports betting bill was nearing completion its approval will be hampered by a more conservative National Congress as the country’s conservative bloc made significant gains in a Congress that it already dominates during the recent election. Currently, both the National Congress’ senate and chamber of deputies are controlled by allies of far-right President Jair Bolsonaro. Both belong group of centre-right—and some right wing—politicians called the ‘Centrao,’ or ‘Big Center.

However, If Lula is elected then the bill could be abandoned altogether as leftist Lula is far more likely to give state owned monopoly holder CAIXA more control over the gambling industry as opposed to the private sector. In addition there will likely be no movement on the bill this month due to the Presidential elections and the government goes into recess on Декабрь 22nd.