Paraguay has officially opened its gambling market to private operators with the historic enactment of Law No. 7348/2025. This sweeping reform eliminates a long-standing monopoly, modernizes regulations, and positions the country as an emerging hub for gambling in the region.
- Transforming Paraguay’s Gambling Industry
- Historical Background
- Key Changes Introduced by the New Law
- Enhanced Regulatory Oversight
- Licensing and Market Access
- Favorable Tax Environment
- Economic and Social Impacts
- Boosting Revenues
- Ensuring Player Protection
- Modernization of the Sector
- Conclusion: A New Era for Paraguay
Transforming Paraguay’s Gambling Industry
The passage of Law No. 7348/2025 on May 7, 2025, marks a new chapter in Paraguay’s gambling sector. Signed into law by President Santiago Peña, this groundbreaking legislation replaces the monopoly system with a competitive regulatory framework that benefits both operators and players.
Historical Background
The reform traces its roots to late 2024, when changes were proposed to the outdated Law No. 1016/1997. The previous regulation confined gambling operations to public tenders only, restricting competition and limiting market growth. With the new law, Paraguay shifts to a modernized system tailored for technological advancements and market expansion.
Key Changes Introduced by the New Law
Enhanced Regulatory Oversight
Law No. 7348/2025 establishes the National Gaming Commission (Conajzar) as a decentralized authority under the National Directorate of Tax Revenue (DNIT). The revamped structure gives Conajzar increased jurisdiction over land-based and online gambling activities. The DNIT will chair the commission, alongside representatives from key government bodies like the Ministry of the Interior.
Licensing and Market Access
The new framework eliminates the need for a public tender process, paving the way for private operators—both local and international—to enter the market. Licensing has become more transparent and accessible, ensuring a fair competitive environment for all applicants.
Favorable Tax Environment
According to Conajzar President Carlos Liseras, Paraguay boasts one of the lowest gambling-related tax rates in the region. This attractive tax policy, coupled with the nation’s growing tourism sector, makes Paraguay an inviting destination for private gambling enterprises.
Economic and Social Impacts
Boosting Revenues
Preliminary data shows an 11% rise in gambling-related tax revenues in the first quarter of 2025. As the market liberalizes further, authorities anticipate substantial economic growth and increased tax contributions that could outperform expectations.
Ensuring Player Protection
The new regulatory system emphasizes responsible gambling and player protection. Measures are being put in place to safeguard vulnerable groups, including minors, while ensuring compliance through stricter operational oversight.
Modernization of the Sector
The legal shift reflects Paraguay’s proactive stance toward embracing technological innovations and recognizing the exponential growth of online gambling. Modernized regulations encourage development while maintaining robust consumer protections.
Conclusion: A New Era for Paraguay
Paraguay’s landmark Law No. 7348/2025 propels the country into the future of gambling. By abolishing monopolies and opening the market to private operators, the nation is set to attract global attention. With its transparent licensing processes, favorable tax environment, and commitment to consumer protection, Paraguay is poised to become a key player in the regional gambling industry.
