Paraguay Updates Regulations for the Sports Betting and Gaming Sectors

The modifications are intended to eradicate exclusivity, stimulate fair competition, and overhaul the sector’s revenue allocation scheme.

End of Monopoly and Emerging Opportunities

Among the principal amendments to the legislation is the abolition of special privileges for certain entertainment activities, including lotteries and sports wagering. Formerly, only one operator was authorised to work within the betting vertical. However, the revised regulation permits up to 3 licensed companies for each game.

This reform is intended to:

• promote healthy competition;
• broaden the selection available to punters;
• boost contributions to the national treasury.

Mr Orué states that the amendment has 2 main objectives: diversifying the market and combating the shadow segment. Permitting multiple niche participants will augment the legal sector's turnover, enhance transparency, and reinforce government oversight.

Licensing Tenders for Sportsbooks in 2026

The primary announcement pertained to plans to introduce new participants into the bookmaker segment via a public contest scheduled for 2026. This decision was made following the directives of President Santiago Peña, although the existing concession of Daruma SAM (Apostala) remains valid until 2028.

The tender will enable 2 more operators to enter the sector, thereby effectively ending the monopolistic era and transforming the competition-related landscape. This change is anticipated to attract new investments and foster the development of innovative solutions within the sports betting vertical.

Shifts in the Revenue Allocation Model

The reform additionally modifies the way concession commissions are paid. Henceforth, the DNIT will collect charges and then distribute them to government agencies and social programmes.

The allocation plan is outlined below:

1. Federal level: 30% to municipalities, departments, and DIBEN each, and 10% to the National Treasury.
2. Asunción: 25% to the city and DIBEN, 20% to departments and low-income municipalities, and 10% to General Revenues.
3. Regional and local tiers: 30% to governmental bodies and DIBEN, and 10% to the National Treasury.

This scheme aims to promote a more equitable management of funds, ensuring that gambling revenues support both urban and rural areas.

Customer Security and Social Liability

The legislation introduces more stringent measures to formalise the market and foster a responsible attitude towards RMG activities. Key priorities include preventing minors from accessing industry platforms and monitoring advertising within this sector. This approach brings Paraguay’s regulatory framework closer to global standards for consumer protection.

Mr Orué highlighted that as opportunities expand, the government will implement more rigorous oversight. The authorities anticipate that market development will positively impact the economy through taxes, job creation, and social initiative funding.

Possibilities for Entrepreneurs

The recent legislative update grants investors access to a dynamic and liberalised business environment. The presence of multiple licensed participants and a contemporary regulatory framework establishes a conducive foundation for ongoing growth and expansion. As Mr Orué observed, the effectiveness of these reforms largely relies on the transparency of operations and collaboration between the state and the private sector.

Gaminator’s experts diligently monitor important legislative updates and the overall situation in the most promising jurisdictions to equip entrepreneurs with valuable information needed for launching a profitable gambling business anywhere in the world.