Peruvian Congress is currently examining amendments to the legislation governing online gambling and sports betting

Experts have engaged with Congress regarding the evaluation of modifications to the law governing online gambling and sports betting. The Foreign Trade and Tourism Commission conducted a session yesterday to assess these proposed changes.

Less than a year after the approval of Law 31,557, which regulates remote gaming and sports betting in Peru, lawmakers are making progress in their efforts to introduce improvements to the existing legislation.

During the session of the Foreign Trade and Tourism Commission on Wednesday, the 24th, chaired by Congressman Edgar Tello Montes, the commission welcomed Pablo Viana Ruiz, representative of the Peruvian Sports Betting Association (APADELA). Viana Ruiz presented the legislative initiative during the session.

Congressman Roberto Sánchez Palomino expressed the view that the law, unanimously approved in Congress in July 2022 but yet to be regulated by the Ministry of Foreign Trade and Tourism (Mincetur), needs strengthening.

He emphasized the importance of identifying the individuals involved in betting, particularly due to the significant risks associated with it, in order to promote the legitimacy of resources. Sánchez stated that Peru needs regulation, as tax revenues should be directed towards mental health, sports, and the development of tourism. He also highlighted the need to prevent money laundering in Peru.

Furthermore, parliamentarian Katy Ugarte Mamani called for preventive policies on compulsive gambling, especially targeting schools and involving parents. She cited statistics from the Social Security indicating that gambling in Peru is growing at an alarming rate of 33 percent each year, although the National Institute of Mental Health suggests the actual figure might be even higher.

Ugarte Mamani emphasized that immediate action should be taken, considering that the country has a limited number of psychiatry professionals. She mentioned that the National Institute of Mental Health estimates that 5 percent of the population in Metropolitan Lima experiences complications associated with gambling.

Pablo Viana Ruiz echoed the sentiment, emphasizing the need to regulate the new law to address the many problems and deficiencies present in the current legislation. He stated that approving the modifications in a new law is necessary to enable responsible gaming policies and regulation to be carried out by entities such as Mincetur.

The project for modification

In March, Deputy Minister of Tourism Madeleine Burns appeared before the Foreign Trade and Tourism Commission of Congress to review and evaluate Bill No. 3595-2022-CR, proposed by Congresswoman Lady Camones, which seeks to amend Law No. 31557.

Burns stated that professionals from various specialties within Mincetur, including electronic engineers, systems engineers, and lawyers, conducted a thorough examination of the bill. She mentioned that a partially favorable opinion was obtained on 51 items that would modify Law No. 31557.

According to reports, they fully agreed on 29 items, reached consensus on seven items while suggesting improvements to the wording, identified two items under the jurisdiction of the Ministry of Economy and Finance (MEF), and believed that the original wording of Law No. 31557 should be maintained for 13 items.

Burns highlighted that among the measures they fully agreed upon for modification is the allowance for foreigners and tourists to participate in gambling activities, as well as the operation of technological platforms without being restricted to the bet.pe platform.

Furthermore, she mentioned the proposed elimination of the guarantee requirement (5 UIT) for sports betting venues, instead suggesting a single guarantee of 600 UIT.

Additionally, they suggested not enforcing the distance requirement between these venues and religious temples or schools that were already operating before Law No. 31557 came into effect.