Carla Beni estimates online betting redirected BR143bn ($28bn) from retail spending between 2023 and 2026.
 

Key Points

Economist Carla Beni said betting-related debt affects both households and the wider economy

A study cited during her interview estimates BR143bn was diverted from retail spending between 2023 and 2026

Beni called for tighter advertising restrictions and higher taxation on the sector
 

Brazilian economist Carla Beni has warned that the impact of online betting extends beyond individual gamblers, arguing that household losses are also affecting retail activity and broader economic performance.

Beni mentioned research from the National Confederation of Commerce (CNC) estimating that online betting platforms diverted approximately BR143bn from Brazil’s retail sector between January 2023 and March 2026.

According to the study, 23% of bettors reported reducing spending on clothing to maintain gambling activity, while 19% cut spending on supermarket purchases.

"There is a multiplier effect in retail. Because when you consume goods and services, that drives the economy, generates jobs, infrastructure, and even the industrial sector, because you have to replenish it,” she said.

“When you reduce the money within this retail sector, you are reducing this multiplier, because this multiplier does not have the same positive side in betting houses.” 

The economist also backed recent government measures aimed at restricting betting access for participants in the new debt renegotiation program and individuals entering federal social assistance programs.

Beni further argued that betting taxation should increase beyond the current framework and supported restrictions on gambling advertising similar to those imposed on tobacco products, echoing thoughts from Brazil’s Health Minister.

Beyond regulation, Beni stressed the importance of financial education, suggesting that individuals should be encouraged to consider savings and investment alternatives rather than gambling.

Recently, Brazil’s Ministry of Health reported a nearly 140% increase in demand for public mental health services linked to gambling addiction over the past five years, according to figures presented during a hearing in the Chamber of Deputies.

 

 

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