Ecuador’s gambling advertising ban lifted

The president of Ecuador has lifted the ban on advertising gambling.

Ecuador.- President Daniel Noboa of Ecuador has lifted the country’s ban on gambling and sports betting advertising across media networks. The president ordered the removal of articles in the previous government’s Executive Order 421, which was issued last year.

Noboa took office in January, replacing Guillermo Lasso Mendoza, and swiftly announced a constitutional review. Land-based casinos and bingo have been banned in the country since a 2011 referendum called by the then president Rafael Correa. Meanwhile, there remains no legislative framework regarding online gambling. That’s led to the emergence of a grey market since there are no laws specifically banning the activity.

The government created a register of gambling companies in July after the revenue agency SRI’s Law on Economic Efficiency and Job Creation was passed. This outlines rules for registering for income tax, which was set at 15 per cent on gross revenue for all verticals. Player winnings are also taxed at 15 per cent.

However, concerns have been raised in the media about the impact on vulnerable people and about the government coming to depend on gambling revenue. Gambling operators also have a highly visible presence in football. It’s expected that Noboa will move to regulate the sector and increase the funding directed to sports and welfare.

Meanwhile, in neighbouring Colombia, Marco Emilio Hincapié, president of the Colombian gambling regulator Coljuegos, is opening the market to regulated keno. Coljuegos is in the process of preparing pre-contractual documents ahead of a public tender. The regulator plans for tickets to be issued using blockchain technology in order to make them traceable.