The President of Paraguay, Santiago Peña, has enacted Law 7.438, which primarily aims to eliminate the monopoly on granting licenses for both sports betting and quiniela (a type of number lottery). The National Gaming Commission (Conajzar) must now decide how to remove the exclusivity of Apostala, a company licensed until 2028.
Law 7.438 represents a radical change in the regulation of gambling in Paraguay. With this regulation, the monopoly that has governed the exploitation of activities such as quiniela and sports betting is eliminated. Now, up to three licenses can be granted for each modality, promoting greater competition in the sector.
This change seeks to improve the quality of services, increase transparency in company operations, and ensure that consumers can enjoy a more varied and reliable offering. By allowing the entry of new operators, the market is expected to become more dynamic and generate greater economic benefits for the country.
The enactment of Law 7.438 also brings a significant change in the supervision of the sector. The National Gaming Commission (Conajzar), which previously depended on the Ministry of Economy and Finance, will now be under the direction of the National Directorate of Tax Revenue (DNIT).
This transfer aims to optimize collection and supervision processes, ensuring that the revenues generated by the sector are managed efficiently and transparently. Similarly, the DNIT will have more resources and tools to ensure compliance with regulations, which will contribute to reducing informality in the market.
One of the most notable aspects of Law 7.438 is its focus on combating illegal activities related to gambling. The regulations establish severe penalties for those who operate clandestinely, including sentences of up to five years in prison.
Additionally, technologies will be implemented to block Internet signals used by illegal gaming platforms, a fundamental measure to limit access to these activities and, especially, to protect minors.
With this reform, Paraguay seeks not only to strengthen its gaming industry but also to ensure that the resources generated contribute to the country's development. The revenue from licenses and tax collection will be allocated to social, educational, and infrastructure projects, benefiting the entire population.
Similarly, the opening of the market will allow the creation of new jobs and attract foreign investments, consolidating Paraguay as an attractive destination for regulated gaming operators.
Law 7.438 marks a before and after in the gaming sector in Paraguay. With stricter regulation, a focus on transparency, and concrete measures to combat illegality, the country takes a significant step in modernizing this industry.
The success of this initiative will largely depend on the collaboration between authorities, licensed operators, and citizens, who will play a key role in building a competitive, safe, and beneficial market for all.
Sports betting will also be exploitable by three companies after the enactment, but the main issue is that Daruma SAM-Apostala has the license until 2028. This situation forces Conajzar to analyze with a technical-legal team the mechanisms to consider for a new tender.
The president of Conajzar, Carlos Liseras, explained to LPO that the legislation will “substantially improve” the frontal fight against the clandestine exploitation of gambling. However, the license that Daruma SAM holds until 2028 is the main “headache” of the institution, as the norm was born to open up competition.
“Indeed, the Daruma SAM office has the license until 2028. The technical-legal team is studying the actions to implement from this enactment,” he stated.
Sports betting is a very attractive field for entrepreneurs due to the high volume of money it moves. So much so that upon learning of the intention to end the monopoly on the service, various companies registered to compete with Daruma SAM.
“There are several national and foreign companies interested in the exploitation of sports betting. Regarding the pool, we will publish the notice for the awarding of three licenses within a few days,” said the president of Conajzar.
Daruma SAM SA, under the brand Apostala, has exclusive exploitation of the sports betting sector in Paraguay until 2028. On this occasion, BGaming, Gambling, and Playtech were also presented, but Daruma SAM was awarded again, as the other bidders, in theory, did not meet the requirements stipulated in the specifications and conditions.
Source: GMB
