Paraguay Overhauls Gaming Sector: Tax Directorate Takes Control of CONAJZAR

Significant changes are underway in Paraguay as the government moves to centralize control over its gambling industry. President Santiago Pena has initiated a major overhaul of the National Gambling Commission (CONAJZAR), placing it under the direct supervision of the National Tax Directorate (DNIT). This decision marks a turning point for a regulatory body that has faced years of scrutiny regarding its transparency and handling of federal concessions. The move fulfills an economic pledge made by President Pena in 2025 to bring integrity to the sector.

Oscar Orue, President of DNIT, announced this week that his department has been tasked with taking the lead in gambling governance. Under the new structure, CONAJZAR will be stripped of its licensing powers, which will now be managed by the DNIT. The tax agency will also take charge of government tenders and concessions. CONAJZAR will remain active but with a narrowed focus on market management, enforcement, and the monitoring of problem gambling. Essentially, while the commission remains the technical observer, the financial authorities now hold the keys to the market.

Numbers and facts

The legal basis for this transformation is Law 7,438/2025. This legislation effectively dismantles Paraguay's traditional monopoly-based concession model, opening the door for greater national competition across various gambling verticals. While the transition is being phased in, existing exclusive agreements remain protected until their terms expire. This includes the prominent sports-betting license held by Aposta.la.

„DNIT would change the structure of CONAJZAR, to focus the department on the duties of market management, enforcement actions and monitoring of problem gambling.“ - Oscar Orue, President of DNIT

A notable personnel change accompanies the restructuring. Carlos Liseras is returning to CONAJZAR following a temporary stint in Paraguay's Senate. President Pena signed a decree ending Liseras' unpaid leave, appointing him as the DNIT representative within the commission, replacing Roxana Carolina del Rio Villalba. Liseras returns at a pivotal moment as the market prepares for the competitive structures mandated by the new legal framework. The administration hopes this will prevent a repeat of the 2023 controversy, where a sports-betting franchise tender was widely criticized for lacking competitive fairness.

Background

The reform is a direct response to past failures within the regulatory system. In 2023, CONAJZAR faced intense pressure after a botched federal concession process. Complaints centered on a lack of transparency and restrictive terms that favored specific entities. By integrating the gambling commission into the DNIT, the government aims to ensure that licensing and taxation are handled with the same rigor as other financial sectors. Consumer protection is also being elevated to a primary pillar, with CONAJZAR specifically tasked with tackling problem gambling as the market becomes more accessible and competitive.

Why it matters for German players

For players in Germany, the changes in Paraguay serve as a global reminder of the importance of strict regulation. In Germany, the Interstate Treaty on Gambling 2021 (GlüStV 2021) already provides a highly controlled environment through the GGL. German players are accustomed to the 1,000 Euro monthly deposit limit tracked via LUGAS and the 1 Euro per spin limit on virtual slots. Paraguay's shift toward tax-authority oversight mirrors the trend of governments seeking more control over gambling flows, similar to the oversight provided by the GGL whitelist in Germany. While Paraguayan reforms are a step forward, they still trail the comprehensive player protection systems like Germany's Oasis lockout database.

What it means for GGL-licensed casinos

Operators holding a German GGL license are already operating at the highest level of global compliance. The situation in Paraguay demonstrates that even traditionally monopoly-heavy markets are moving toward regulated competition and fiscal transparency. For GGL casinos, this global shift validates their business model. As markets like Paraguay move away from opaque licensing processes, the international reputation of regulated gaming improves. While providers licensed in Malta or Curacao often operate in gray areas, Paraguay’s decision to involve the tax directorate signals a move toward a more formal, transparent economy that aligns more closely with European standards of corporate governance.