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Exclusive

Jonathan Félix Vilchez explains to us all the secrets of gambling regulation in Peru

Tuesday 04 de June 2024 / 12:00

2 minutos de lectura

(Perú, Soloazar, exclusive) Jonathan Félix Vilchez is one of the men who knows the most about the gaming regulatory framework in Peru. He is CEO of Global Business Company de Perú S.A.C. and is a senior international executive and entrepreneur, with more than 22 years of experience in the gaming industry in Latin America. Therefore, in this interview divided into two parts, he seemed to us to be the right person to discuss in depth the secrets of the gaming industry in Peru and especially about the regulation of a constantly expanding market.

Jonathan Félix Vilchez explains to us all the secrets of gambling regulation in Peru

To open the game, we spoke with Jonathan Félix Vilchez about the beginnings and evolution of the gaming industry in Peru and this was his answer: “From our point of view, regulation in Peru has a history of close to 30 years, in this time we have witnessed the evolution of the market, and the gaming sector in general. It is important to mention that the regulator (MINCETUR) has more than 18 years of experience, it began its inspection functions with the physical casino sector, so I consider that it has obtained valuable experience and contribution, since in this period it has facilitated the Peruvian state collect more than 950 million dollars for exploitation rights (according to figures released by the regulator). In the Sports Betting and Online Gaming sector, one of the main regulatory initiatives was proposed by the regulator in June 2018, in which it presented the first project to regulate the activity, a date from which all sectors “We participate by providing contributions, and holding meetings with the regulator.”

Then he pointed out that “Finally, in 2022, the Congress of the Republic and the Executive Branch demonstrated joint work that achieved the approval of law 31557, which was promulgated in August of that same year, however, there were some points that needed to be adjusted, for example. what the main stakeholders of the sector, the associations of operating companies, consulting companies and civil society managed to articulate a joint work with the Congress of the Republic, as a result of which law 31806 was enacted, which introduced some key aspects such as having eliminated from the cost of the license for the retail channel, leaving as the only cost the license for the online channel, which includes retail agencies, the clarification regarding the payment of taxes in which companies not domiciled in the country must also pay the right to exploitation established by law, the extension of the period of adaptation to the regulations, and the use of domains .com / .pe /.com.pe / .bet / .com.bet.” and concluded “In October 2023, the technical regulations of the law were published, with which the deadlines for its entry into force were activated, so finally in February of the current year the law came into force, and the first months They are very expectant of this new stage of the regulated market, since 80 companies submitted a request for authorization (B2C License) and to date 200 companies providing linked services have been registered that already have the authorization (B2B License) from the regulator.”

What recent changes in Peruvian legislation have impacted the online gaming industry? How much has the legislation changed since you started in 2016 with Global Business Company de Perú S.A.C.?

The Peruvian market has experienced significant maturation in the last 15 years, so from our point of view it was already ready for this stage of a regulated market. Our history spans 23 years in the sector, in verticals such as lottery games, sports betting and online games. We have witnessed the evolution of the market, technology, and regulation, in accordance with international trends. Having been part of the staff of leading companies in the Peruvian market, gave us the opportunity to have been pioneers in the launch of new games, in the retail channel and online channel of brands that to this day are leaders in the Peruvian market. , which has given us a very valuable experience, and in which we had to “learn by doing” in this exciting industry. As a result of this experience, in September 2016 we founded Global Business Company of Peru, with the objective of continuing to provide our experience in the development of the Peruvian market, expanding our horizons and services in other markets in the LATAM region to our international clients. As part of our mission we have collaborated and provided our advice to regulatory institutions such as COLJUEGOS in the Republic of Colombia, and the Peruvian regulator in the process of regulating sports betting and online games.

What are the main regulatory challenges faced by online gaming and sports betting operators in Peru? What entities are involved in the supervision of gambling in Peru? The formalization and regulation of the activity is a challenge for all Stakeholders that are already operating in the market, and for international companies that have made the decision to enter the regulated market, because first of all the regulatory and tax framework must be understood. To adapt the business plan and commercial strategy to current regulations, this represents a legal, administrative, financial, technological and commercial challenge. The law that regulates the activity has established the Ministry of Foreign Trade and Tourism (MINCETUR) as the regulatory entity through the General Directorate of Casino Games and Slot Machines, which is authorized to carry out the task of control and supervision of activity. In the tax aspect, for the purposes of collecting the exploitation right established by law, the responsibility falls on the National Superintendence of Customs and Tax Administration (SUNAT). The Public Ministry, the National Police, and the Judicial Branch, which according to their functions are responsible for enforcing the law, at the request of the regulator as appropriate. 

In the next part of this exclusive interview with Jonathan Félix Vilchez we will delve into topics such as the licenses necessary to operate in the Peruvian gaming market, payment methods and how gaming advertising is regulated in that country.

Categoría:Exclusive

Tags: Sin tags

País: Peru

Región: South America

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