The sports betting industry in Brazil could be regulated as soon as mid-2021, according to estimates from local experts. In a report shared by BNL Data, it was revealed that the Government of Jair Bolsonaro would establish a fixed odds regulatory framework, through which players would know the prizes in advance. The complete regulation would be signed next June.

Waldir Eustáquio Marques Júnior, undersecretary of Prizes and Draws of the Ministry of Economy, estimated that investors could enter the fledgling sector in the second semester of 2021 and that the industry could generate up to $770m per year.

In addition, following the recommendation of the National Treasury Attorney’s Office (PGFN), the ministry will choose a concession model instead of one that would authorize operators, as originally planned.

As agreed earlier this year, sports betting will also be included in the Investment Partnerships Program (PPI) and the National Privatization Program (PND).

Marques Júnior minimized the impact of a delay in the regulation process, claiming that it’s important for the operations to have legal guarantees. According to the undersecretary, the Law 13,756 that was approved in December 2018 failed to address important issues, such as the possibility of regulating sanctions. The updated regulation is likely to include fines and sanctions for companies that breach the agreements in the concession contracts.