El Salvador’s National Charity Lottery (LNB) is preparing changes to its Organic Law that could bring land-based casinos and gaming halls under national oversight, Javier Milián, the lottery’s president, said. The proposed reform would also cover machine operators and suppliers, with the aim of providing stronger protections for players and investors.
At present, municipalities issue operating permits for these establishments, Milián said. He described the permits as having limited legal scope and said they do not provide all the guarantees needed for the activity to operate properly.
“The entity is working on a reform to its Organic Law to assume the regulation of land-based casinos and gaming halls,” Milián said, adding that the initiative is intended to create a legal framework with greater guarantees for market participants. He also said the LNB wants to ensure machines entering the country have the necessary certifications.
Online market growth contrasts with land-based framework
The proposed changes come as El Salvador’s online gambling market expands, while other segments have remained relatively stagnant. Policymakers are seeking to build on that growth and increase tax revenues across the industry.
LNB projections indicate the iGaming market could grow by as much as 80% in 2026, with online casino accounting for most regulated activity. The country is targeting March 2027 for an overhaul that would extend national oversight to land-based casinos and gaming halls.
Election could affect reform timetable
Political changes could complicate the plans. A presidential election is scheduled for February next year, while elections are also taking place at legislative and municipal levels. A change of government could disrupt implementation of the reforms.
There is not currently a strong indication that opposition voices would campaign specifically against the gambling changes, although that could shift as lobbying increases from businesses already operating in the sector.
