Brazilian President Lula Moves to Ban Online Betting and Restructure Debt
As October elections approach in Brazil, online betting operations have been banned and a debt relief program for citizens has been announced.
Brazilian President Luiz Inacio Lula da Silva signed a decree immediately banning online betting activities in the country as the upcoming election race intensifies, while also unveiling a new relief program targeting household debt.
Ban Period on Online Betting
Online betting operations have been immediately banned in Latin America's largest economy, a decision that will require congressional approval within 120 days.
Deputy Finance Minister Dario Durigan announced that gambling company websites will remain open until October 5 to allow users to withdraw their remaining funds, while app stores and network providers will block these sites on October 6.
Election Race and Political Debates
Opinion polls show that ahead of the first-round vote on October 4, President Lula da Silva is locked in a tight race with right-wing Senator Flavio Bolsonaro.
Senator Flavio Bolsonaro criticized the move, describing it as a populist and politically motivated maneuver.
Household Debt Relief Program
Under the new household debt relief initiative announced by Lula, the government will spend 15 billion reais in an auction in November.
This funding is planned to purchase up to 150 billion reais in distressed credit at deep discounts, specifically targeting credit card debt and unsecured personal loans that have been in default for two to 4.5 years.