Paraguay to Reform Gambling Laws in 2025, Ending Industry Monopolies

Paraguay is set to overhaul its gambling laws in 2025, following President Santiago Peña’s approval of a bill to "establish a new legal regime for the exploitation of games of chance." The legislation, endorsed by the Ministry of Finance, received federal approval from Paraguay’s National Congress in December 2024.

The reform marks a significant shift for Paraguay’s gambling sector. The new law aims to de-monopolise the industry, expanding lottery and sports betting licenses from one to three, and allowing unlimited licenses for other gambling activities. Regulations for online gambling and betting will also be introduced, covering casinos, lotteries, online casinos, and sports betting to adapt to technological advancements.

In 2024, President Peña intervened to push the bill forward after its review was delayed by the Constitutional Affairs Committee. The reform had been a priority since 2022, driven by fallout from corruption linked to Conajzar’s controversial tender for a national sportsbook license, which was awarded to the Apost.la brand without government oversight.

The urgency for change was championed by Lorena Rojas, head of APOJA (Association of Gaming Operators), who proposed amendments to end gambling monopolies. Ministers rallied behind APOJA following the Conajzar scandal, paving the way for significant industry reforms.

Key Governance Changes

The bill introduces a shift in regulatory oversight, moving Paraguay’s National Gambling Commission (CONAJZAR) from the Ministry of Economy and Finance to the National Directorate of Tax Revenue (DNIT). This change aims to improve operational capacity, logistics, and tax revenue collection, ensuring more effective regulation of gambling activities.

CONAJZAR will receive expanded resources, including 800 inspectors and enhanced legal and control functions. The commission will also be empowered to combat illegal gambling by blocking clandestine signals from unauthorized online casinos and platforms, in collaboration with the national computing center and Conatel.

Carlos Liseras, president of CONAJZAR, praised the reforms:

"We had a long, arduous and heavy job, but we did not have the necessary operational capacity to be able to fulfil our legal obligation. Today, with Law 7438, CONAJZAR depends on the DNIT, which has sufficient operational capacity throughout the national territory, logistics, trained technical personnel, and infrastructure to fully comply with what the law establishes."

This legislative overhaul represents a new chapter for Paraguay's gambling sector, fostering competition and ensuring better oversight for an industry that has long been plagued by corruption and inefficiencies.