To gain a clearer understanding of the potential risks associated with gambling, Brazil’s federal government has formed the Interministerial Working Group on Mental Health, Prevention, and Harm Reduction of Problem Gambling.
The initiative brings together representatives from key government ministries, including sports, finance, health, and the Secretariat of Social Communication of the Presidency.
The working group is tasked with developing strategies to address the mental health challenges and social vulnerabilities arising from the proliferation of fixed-odds betting, which has rapidly expanded since its legalisation in 2018.
Over the next 60 days, the group will meet biweekly to formulate measures aimed at prevention, harm reduction, and providing support to those impacted by gambling addiction.
The legalisation of fixed-odds betting marked a turning point for the Brazilian gambling market. However, according to the project’s leaders, the absence of robust regulation created significant vulnerabilities.
Without proper oversight, the sector saw a rise in abusive practices, leaving bettors exposed to financial risks and escalating cases of gambling addiction. The arrival of online betting could exacerbate the issue.
Scope and responsibilities of the task force
The working group has been given broad authority to review existing administrative actions and public policies, while also proposing new regulatory measures.
It is empowered to collaborate with both public and private entities to gather insights and foster partnerships that will strengthen its initiatives.
The group’s responsibilities include designing educational campaigns to raise awareness about the risks of gambling addiction, developing mental health support programmes for bettors, and setting criteria for regulating betting operators to encourage more responsible practices.
Additionally, the group aims to improve prevention and treatment programmes to address the psychological and social impacts of gambling addiction.
Brazil’s transformative betting market
The task force’s creation coincides with broader efforts to regulate the burgeoning online sports betting industry in Brazil.
As of December, the government has introduced a series of legislative and administrative measures to establish clear rules for the sector, ensuring greater accountability among operators and better protection for consumers.
Key initiatives include the imposition of licensing requirements for betting platforms and the establishment of tax structures for the sector.
Licensed operators are now also required to implement robust compliance mechanisms to prevent problem gambling and ensure transparency in operations.
The regulation also includes provisions to fund social programmes and mental health services through revenue generated from betting taxes.
While these measures mark progress, significant challenges remain. Experts have emphasised the need for continued public awareness campaigns to inform bettors about the risks associated with gambling.