< Back to all clusters
[BUSINESS] · Brazil · 23 sources

started · updated

Brazil: USP study warns online betting could drain R$ 141 billion from economy in 2025

A study by the Center for Research in Macroeconomics of Inequality (Made) at the University of São Paulo (USP) indicates that the expansion of online betting platforms, known as 'bets', could significantly impact the Brazilian economy in 2025. The research estimates that these platforms could remove between R$ 120 billion and R$ 141 billion from economic activity, representing approximately 0.9% to 1.1% of Brazil's GDP. This loss is estimated to be equivalent to 40% to 50% of the country's projected economic growth for 2025.

Fiscal consequences are also notable. While betting platforms generate approximately R$ 9 billion in direct revenue, the study suggests a net negative impact on public accounts, with a potential deficit ranging from R$ 22 billion to R$ 46 billion due to reduced economic activity. This loss in tax revenue is estimated between R$ 31.1 billion and R$ 54.8 billion. Furthermore, the study highlights social risks, including a potential 14% increase in family indebtedness and a possible rise in income concentration at the top of the economic pyramid by up to 2.1%.

In response to these trends, the Brazilian government is preparing measures to regulate the market. Over one million citizens have already used the Sigap system to self-exclude from licensed betting platforms. Additionally, there is ongoing discussion regarding a potential government ban on online gaming, which could impact approximately R$ 1 billion in sports sponsorships.

Entities

Brazil · CHEGA · European Union · Luís Montenegro · MADE · Made (Research Center in Macroeconomics of Inequality) · Made - Center for Research in Macroeconomics of Inequality · Made Research Center · Ministry of Finance · Portugal · SERPRO · University of São Paulo

Claims

What the coverage asserts, and how many sources carry each claim.

Sources