After years of debate, the Paraguayan government has officially ended the long-standing gambling monopoly with the enactment of Law 7438, which modifies and expands Law 1016/97, establishing a new legal framework for gambling regulation. The law, which came into effect in January, brings sweeping changes to the oversight and licensing of games of chance throughout the country.
One of the most significant changes is the transfer of the National Gambling Commission (Conajzar) under the direct authority of the National Directorate of Tax Revenues (DNIT), ending its previous affiliation with the Ministry of Economy and Finance. This institutional shift aims to enhance tax oversight and operational transparency.
Paraguay promotes bill to “free gambling” and “remove legal monopolies”
Oscar Orué, head of the DNIT, expressed optimism about the upcoming regulatory decree expected in April. “Liberalization will foster competition and increase state revenues,” he affirmed. Orué revealed that the regulation will open the market by granting licenses to three companies for lotteries (quinielas) and three for sports betting, effectively breaking the historical monopolies in both sectors.
“Now, the president of Conajzar is a civil servant reporting directly to our institution, which streamlines fiscal coordination and regulatory enforcement,” Orué explained.
Carlos Liseras (Conajzar) and Braulio Ferreira (DNIT).
As of March 2025, Conajzar has already begun internal restructuring, launching a digital portal for license applications and operator compliance reports. The commission also announced a comprehensive registry of authorized gambling machines, expected to be fully operational by mid-2025.
In its latest update, Conajzar confirmed it will hold public hearings in May to evaluate new licensing proposals and receive feedback from stakeholders, including municipalities, operators, and civil society.
To tackle illegal gambling, Orué emphasized that DNIT’s intelligence unit will collaborate with Conajzar to detect and confiscate unlicensed slot machines. “Any citizen can report irregularities directly to us, especially regarding unauthorized machines in local shops,” he stated.
With Paraguay stepping into a new era of regulated, competitive gambling, both public revenue and consumer protections are expected to improve significantly. The industry now awaits the final regulatory decree in April, which will officially open the door for licensed operators in the liberalized market.
