In early November, the executive branch of the government presented a bill to amend the current Paraguay gambling legislation (Law No 1,016/1997), with a focus on strengthening the position of the gambling regulator, Conajzar. It also aimed to liberalize the country’s gambling market.
The bill aims to achieve this by enhancing the powers of the National Commission of Gambling (Conajzar), positioning it under the government-powered National Tax Revenue Directorate (DNIT).
The current law states that the “exploitation of national games of chance will be carried out exclusively by public tender,” but these activities will be liberalized under the new bill.
The Chamber of Deputies, which is the lower house of Paraguay’s legislature and part of the national congress, partially approved the bill yesterday. It was signed by the Minister of Finance, Carlos Fernandez Valdovinos, and President Santiago Peña. The document will now move to the Senate for final approval.
Conajzar President Carlos Liseras said he expects that opening the gambling market to competition will enhance the sector’s tax contributions to the government.
“It is a fundamental step to democratize the market and allow greater competitiveness, which will translate into benefits for both operators and the state,” Liseras said in quotes shared by G&M News.
## **What does the bill propose?**
The bill seeks to eliminate the current monopolies and open the market to private competitors. This would allow commercial operators of games of chance to compete, rather than having to secure access through tender processes.
These changes reflect Paraguay’s social and economic shifts under the new government that came to power in August 2023.
The bill states: “Our country has witnessed marked economic and social changes, which have led to exponential market development, and gambling has not been left behind by such dynamism.
“Rather, it has been reached by technological and economic changes that have resulted in new types of gambling as well as an increase in the number of providers and users.”
Alongside opening the market, a key aim of the bill is to improve the effectiveness of Conajzar as a regulator.
Placing Conajzar under the DNIT aims to boost revenue collection and strengthen its powers for “institutional optimization.”
The Conajzar general director will oversee gambling in Paraguay, including coordination, development, control, and supervision.