TITLE: Brazil Extends Online Betting Ban to Desenrola Fies Program Participants
BODY:
On May 13, 2026, the Brazilian Federal Government extended its prohibition on online sports betting to participants in the Desenrola Fies program through Provisional Measure No. 1.358/2026, published in an extra edition of the Official Gazette of the Union.
The Desenrola Fies program allows students to renegotiate debts related to federal student financing under the Student Financing Fund (FIES). The betting restriction, which previously applied only to the Desenrola Famílias program, now covers both debt renegotiation initiatives. Under the measure, beneficiaries of the Desenrola Fies program are prohibited from participating in online sports betting platforms for a period of one year during debt renegotiation. According to Rogério Ceron, executive secretary of the Ministry of Finance, the original text of Provisional Measure No. 1.355/2026 (Desenrola 2.0), published on May 4, 2026, did not explicitly apply the betting restriction to the FIES program. The government described the amendment as a clarification to remove ambiguity regarding the measure's scope. The betting prohibition was inserted into Provisional Measure No. 1.358/2026, which primarily addresses fuel subsidies, functioning as an amendment to the original Desenrola 2.0 framework. The government's stated objective is to prevent online betting companies from using public debt renegotiation programs as a mechanism to stimulate credit or expand financial operations linked to betting. The amendment references Article 5-A, paragraph 4-B of Law No. 10.260 (July 12, 2001), which established the FIES regulatory framework. The Desenrola Fies program commenced operations on May 13, 2026, with reported high initial demand.
Provisional measures have immediate legal force but require approval by the National Congress within 120 days to become permanent legislation.