Brazil’s sports betting ban will cost Olympic and Paralympic sport R$ 2.623 billion through 2027

A federal move to shut down sports betting operations in Brazil will strip the country’s Olympic and Paralympic ecosystem of an estimated R$ 2.623 billion in earmarked transfers by 2027. For PSPs and acquirers watching high-risk regulation, the point is simple: when a government flips the switch on a regulated betting market, the money trail stops too.

1. The losses were mapped by the Comitê Olímpico do Brasil (COB) and confirmed to O Globo by officials from several entities. The forecast covers R$ 497 million that will no longer be transferred between October and December 2026, plus R$ 2.1 billion tied to expected 2027 collections under Law No. 14.790/2023, which had regulated bets and online games in Brazil.
2. The calculation is based on amounts actually received between 2025 and September 2026. Even then, it undercounts the damage: the survey does not include direct transfers that federations were receiving from bets placed on their own sports. In other words, the headline number is already large, and it is not the full bill.
3. The federal government issued a Provisional Measure to end betting operations, published close to the general elections. The official justification is the protection of Brazilian families in the face of debt caused by betting.
4. COB president Marco La Porta said the body collected about R$ 200 million between 2025 and September 2026 from betting transfers. It expected another R$ 25 million by the end of 2026 and between R$ 125 million and R$ 130 million in 2027. With a total budget of R$ 600 million, COB will lose about 20% of its projected revenue.
5. La Porta said the biggest hit will come next year, when there will be no collection at all: “So it is R$ 125 million less two years before the Olympic Games, and of course this will have consequences.” To protect Brazil’s preparations for Los Angeles-2028, COB plans cuts in other areas and will use its reserve fund. Projects such as expanding the Youth Games will be delayed, and clubs with already signed contracts are expected to feel the shock even more sharply.

Jorge Bichara, COB’s Sports Director, said the organization is still discussing the 2027 budget and how much will be distributed to federations. He also noted that preparations for Los Angeles are proving expensive, especially the support required during the Games themselves. For payments professionals, this is the familiar pattern: a regulated betting regime can create a predictable funding stream, and a policy reversal can remove it just as quickly.