Paraguay

Unlike some other exotic jurisdictions, this country’s gambling framework is not built around a simple form submission and licence acquisition. Paraguay uses a concession approach where most commercial rights come through public tenders, followed by a contract and ongoing fiscal oversight.

The current baseline combines the original gambling regime under Law No. 1016/1997 and a major update under Law No. 7438, which expressly lists online casino as an authorised game type and places the national regulator inside the tax administration structure.

2WinPower presents an operator-focused guide to Paraguay’s online gambling authorisation model. Our experts concentrate on official legal foundations, verifiable pricing logic, and the compliance factors that most often delay a launch.

Legal Baseline

Paraguay regulates games of chance through a defined list of permitted formats. On top of that, anything outside the record is prohibited unless authorities later approve a new modality. That strict, catalogue-style approach allows the regulator to control the industry and support fair operational standards.

The framework rests on three pillars:

• Law No. 1016/1997 (the original legal regime for games of chance and the institutional set-up around CONAJZAR);
• Law No. 7438 (amendments that expand the list of authorised games (including online casinos), restructure CONAJZAR as part of DNIT, and refine concession rules and enforcement powers);
• implementing decrees (secondary obligations that define operational controls, technical oversight, and the internal governance of the regulator).

Law No. 7438 frames CONAJZAR as a deconcentrated body of DNIT, with functional and administrative autonomy within that structure. The commission includes DNIT plus representatives of governors, municipalities, the Interior Ministry, and DIBEN (beneficence/aid). For operators, this means that gambling oversight sits close to the tax function, so reporting discipline and data access matter from the very launch.

Paraguay does not treat every permit as country-wide by default. The law separates games into national, departmental, and municipal spheres, then assigns the competent legal body for authorisation accordingly.

After the update, the rule states that each game must have an approval issued by CONAJZAR, a governor’s office, or a municipality, depending on which regulator is competent for that category.

Before you budget or plan market entry, define which vertical you want to operate in and which level of authority controls that segment.

iGaming Licensing

In Paraguay, the commercial right to run key gambling products is typically granted through public tender and formalised via a concession contract. That structure affects timing, costs, and predictability because you cannot simply apply it whenever you want.

This implies that entry depends on tender windows, not only on the readiness of your platform. On top of that, commercial terms are embedded in the contract, so financial obligations are not the same for all.

This logic applies to online segments as well, because a virtual casino is placed inside the same authorised catalogue and the exploitation right is tied to official registration and oversight.

iGaming

Law No. 7438 explicitly recognises online casinos as an authorised modality and describes them as remote exploitation through an internet platform that offers games comparable to land-based venues, under Paraguayan legal scope.

The law’s definition points to a typical iGaming catalogue:

• slots/electronic casino-style activities;
• roulette and table variants;
• poker and card formats;
• other casino-type games offered online.

The distribution sits inside a catalogue of authorised formats, under the same general prohibition against unlisted gambling types.

Online Sports Betting

Bookmaker activities are also defined in the authorised list and treated as a national product. The amended text provides that sports betting will be granted through public tender, with up to three concessions available. The same structure appears for quiniela, which is treated as a distinct betting category.

Land-Based Regulation

Online is the priority for most entrants, but Paraguay’s regime still uses brick-and-mortar rules as a reference for how concessions work and how the state prices operational rights.

The amended framework includes explicit constraints for physical casinos:

• Asuncion — one casino concession;
• departments — one casino concession per region above the population threshold stated in the law.

A single casino concession term may run up to 20 years. The law also requires a separate accounting for gambling operations, which signals a strict audit mindset rather than a relaxed reporting approach.

Technical Controls for iGaming Operations

Paraguay’s secondary regulation includes tech oversight language that matters for platform architecture and compliance planning.

A key operational principle in the implementing framework is control through certified systems and regulator access to operational data, supported by inspection bodies accredited under the national accreditation structure.

Typical control angles to plan for:

• system certification via accredited inspection channels;
• traceable accounting and auditable transaction logs;
• regulator-facing reporting flows for operations monitoring;
• controls aimed at preventing unauthorised game exploitation.

These points come straight from how the legal system is built. The requirements derive from the catalogue-based authorisation plus enforcement tools against unapproved activity.

Costs and Finances

Paraguay’s public model uses canon payments (concession fees) rather than a single, universal “licence price”. The exact rate depends on the product and the tender terms.

A credible pricing anchor exists in CONAJZAR’s formal act for the national sports betting concession terms. Under Resolution No. 48/2022, the the duration is stated as five years, and the operator’s payments include 22% over net wins and a minimum monthly payment of $150,000.

Law No. 7438 also details how canon proceeds are distributed across public recipients, with allocations to municipalities, departmental governments, DIBEN, and the national treasury (the percentages vary by category). It also references a specific deduction linked to DNIT’s funding line within the overall canon mechanics.

Licence Acquisition

Since this is a concession market, the permit obtainment process is more procedural than in many licensing hubs. The state grants exploitation rights via tenders, then ties the operator to a contract and oversight flows.

Steps after that baseline:

1. Identify the target vertical (online casino, sports betting, quiniela) and confirm whether it is a national category with tender-based entry.
2. Track publications and requirements, because eligibility criteria and commercial terms sit inside the tender package.
3. Prepare the corporate and financial suite that supports bidding credibility, including the ability to meet minimum canon commitments where required.
4. Align platform design with compliance controls, including technical certification expectations and reporting readiness.
5. Execute the concession contract and plan a launch that matches the regulator’s monitoring model rather than a soft self-declaration approach.

Opportunities and Challenges

Paraguay’s updated framework is neither a free-for-all nor a closed monopoly by default. It is a controlled market with defined authorised formats and a concession approach that can favour disciplined operators.

The main upside is structural. The online casino sector is explicitly recognised as an authorised modality, and multiple concessions are legally contemplated for major betting verticals.

The hard part is execution. Oversight is tied to a tax-adjacent regulator model, tender-based entry, and strict enforcement tools against unauthorised products.

Paraguay offers a legal route, but several friction points show up repeatedly:

Tender Timing Risk

A concession system creates a calendar problem. Market entry depends on the state’s schedule, so a ready-to-launch platform can still sit idle without an open tender window.

Limited Concession Places for Key Verticals

Sports betting has an explicit cap of 3 slots. This turns licensing into competitive bidding rather than administrative processing.

Enforcement Exposure for Unapproved Activity

The legal regime supports strong action against illegal operations. This includes seizure and closure mechanics tied to unauthorised exploitation. That creates a direct downside for test launches that do not align with the formal authorisation route.

Pressure for Temporary Permissions

Law No. 7438 includes a transitional rule for provisional authorisations issued before the bill’s entry into force. This limits their validity to the contract term or three years from announcement.

The Main Things about Paraguay

The promising South American jurisdiction regulates gambling through a catalogue of authorised games, backed by a concession model and formal enforcement tools. Online casino and sports betting sit inside this framework, so platform entry depends on official authorisation rather than informal operation.

Key aspects about iGaming in Paraguay:

• Law No. 7438 lists online casinos as an authorised modality and treats unlisted gambling formats as prohibited unless later approved.
• CONAJZAR operates as a deconcentrated body within DNIT, which brings tax-style oversight expectations into gambling compliance.
• Sports betting concessions are capped at three and are granted through public tender rather than open-ended application.
• A concrete cost reference exists in Resolution No. 48/2022 and comprises 22% over net wins, a minimum monthly payment of $150,000, and a five-year term.
• The law assigns authorisation competence to CONAJZAR, governors, or municipalities depending on the game category, so structure matters before you plan entry.

If you want to enter this market with fewer compliance surprises, 2WinPower can help you select the correct licensing route, prepare a documentation pack, and structure reporting flows that align with regulatory and tax expectations.