Peru Receives 145 License Applications for Online Gambling in 30 Days

Peru recently witnessed a significant surge in the number of license applications for online gambling and sports betting. The Ministry of Foreign Trade and Tourism (Mincetur) reported receiving a total of 145 requests within the initial 30-day period following the enactment of Law no 31557. This law, which came into effect on February 9, serves to regulate the burgeoning online gaming sector in the country.

Operators active in the Peruvian market were given a deadline until March 10 to apply for the required licenses. Mincetur issued warnings, cautioning that failure to comply could result in hefty fines or even criminal prosecution. As the initial application phase has now concluded for existing operators, attention turns to the evaluation of these applications, with both national and international companies vying for licenses.

Peru's move to regulate online gambling reflects a broader trend in the global gaming industry towards formalization and oversight. The approval of regulations in October, under Supreme Decree 005-2023-Mincetur, outlines stringent requirements for operators. Notably, a tax rate of 12% on gross gaming revenue (GGR) will come into effect from April 1, contributing significantly to state revenues.

Tax reforms, including the tripling of license fees and adjustments to revenue taxation, aim to ensure fair contributions from operators to the state coffers. Law no 31806, passed in May 2023, addressed concerns over undertaxed foreign operators and introduced measures to enhance regulatory effectiveness.

With the regulatory framework in place, Peru anticipates substantial revenue generation from online gaming and sports betting activities. The government's focus on oversight and taxation underscores its commitment to balancing economic opportunities with regulatory integrity in the burgeoning online gambling sector.