New Legislation Reshapes Paraguay’s Gambling Industry

Paraguay has redefined its approach to regulating the entertainment sector with the introduction of Law No. 1016/1997. Updated policies open up opportunities for private companies, improve monitoring, and align national standards with worldwide models. These reforms are expected to boost tax income and enhance financial transparency.

Main Provisions of the Recent Initiative

Key aspects of the reform encompass:

1. Updated oversight mechanism. The National Gaming Commission has been restructured and now operates under the National Directorate of Tax Revenues. This step ensures improved monitoring and maximises fee collection.
2. Liberalised approach. Private enterprises can now participate in previously restricted areas, breaking long-standing monopolies. This creates a fairer system and encourages innovation.
3. Global comparisons. These reforms mirror trends in other regions, such as Finland’s shift to a more open model and Zimbabwe’s updated tax policies.

The Senate approved the reform on 19 December, and the House of Representatives followed with a special session. The legislation received broad support despite some initial objections.

Lawmaker Yamil Esgaib emphasised the importance of the updates, noting their potential to strengthen oversight and improve tax revenue streams.

President Santiago Peña was a vocal advocate for these changes. His administration underscored the need for a modern framework to keep pace with the sector's growth and advancements in technology.

With these reforms, Paraguay strengthens its position as a forward-looking player in the global entertainment arena. The updated policies aim to ensure financial transparency, foster innovation, and secure long-term economic benefits.