Law 7438/2025: The Turning Point Reshaping Paraguay’s Gaming Industry

August 5, 6, and 7, Hotel Casino Acaray, Ciudad del Este.

The new legislation has reformed the legal framework governing games of chance, strengthened CONAJZAR’s role under the National Directorate of Tax Revenue (DNIT), and ushered in a new era of competition, oversight, and market formalization in Paraguay.

Paraguay is experiencing one of the most significant regulatory developments in recent years for the gaming industry.

Law 7438/2025 amended and expanded Law 1016/1997, which established the legal framework for the operation of games of chance. Its impact is substantial: it introduces a new institutional structure, broadens the scope of recognized gaming activities, and opens the door to increased competition across key market segments.

One of the most important changes is that CONAJZAR now operates under the National Directorate of Tax Revenue (DNIT). This integration is intended to provide the regulator with greater operational, technical, supervisory, and administrative capacity. In practical terms, it represents a shift toward a model focused on stronger oversight, greater transparency, and higher compliance standards for market participants.

The legislation also seeks to move beyond monopoly-based structures in certain gaming verticals by allowing multiple operators to participate within the same category. This development is particularly significant for sectors such as lottery operations and sports betting, two segments with considerable economic, social, and regulatory impact.

The discussion is no longer theoretical. In 2026, CONAJZAR awarded national lottery concessions to two operators under the new regulatory framework, providing the first tangible sign of market opening and competition. The process demonstrates that Paraguay has begun implementing regulatory reform rather than simply announcing it.

For the industry, Law 7438/2025 creates opportunities, but it also raises the bar. Operators will need to pay closer attention to licensing and concession requirements, regulatory oversight, data transmission obligations, illegal gaming prevention measures, compliance standards, responsible advertising practices, minor protection policies, and technical requirements.

For suppliers, the new landscape is equally important. Regulatory modernization requires robust platforms, certifications, monitoring systems, compliance solutions, KYC tools, fraud prevention mechanisms, reliable payment systems, technology auditing services, and specialized solutions capable of supporting a market that is moving toward greater formalization.

The law also brings a fundamental issue to the forefront: the balance between market liberalization and regulatory control. Paraguay has the opportunity to build a more competitive, transparent, and investment-friendly gaming market. Achieving that goal, however, will require clear regulations, strong licensing processes, effective supervision, and smart collaboration between government authorities and industry stakeholders.

This will be one of the key topics of discussion at SAGSE Paraguay 2026.

The question is no longer whether Paraguay has potential. The real question is who will be prepared to operate, supply, invest, and compete under the new regulatory framework.

Law 7438/2025 has changed the playing field. SAGSE Paraguay, August 5, 6 & 7, will be the place to understand how the next chapter of the industry will be played.

Pre-Registration

Become a Sponsor