The Executive Branch issued Decree No. 197-26 on 26 March 2026, ordering the immediate reactivation of the National Regularization Plan for lottery shops, agencies, and betting parlors. The move, aimed at finalizing the vetting and formalization of the sector, gains new urgency following a scathing report by the National Federation of Lottery Betting Shops (Fenabanca) regarding the “anarchic” growth of illegal gambling points.
Executive restructuring and tax integration
The new decree repeals the previous framework (Decree No. 295-22) to establish a more rigorous oversight scheme. A key shift in strategy involves the direct integration of the Tax Agency (DGII), which is now tasked with:
• Provisional fiscal integration: Bringing establishments into the tax regime immediately.
• Compliance audits: Verifying the tax standing of all operators.
• Operational coordination: The Administrator of the National Lottery will serve as the operational coordinator, supported by a revamped Consultative Council including representatives from Indotel, OGTIC, and the Association of Gaming Casinos.
Context: A sector in “anarchy”
The government’s decision to restart the plan follows a high-profile press conference where Fenabanca leaders warned that the Dominican Republic is being overrun by illegal betting shops. According to Fenabanca, the state is losing approximately RD$5 billion annually due to the proliferation of unlicensed operators who fail to pay taxes or comply with distance regulations.
Illegal points of sale now outnumber legal ones and betting shops appear in areas that violate Resolution 104-10 that mandates a minimum distance of 200 meters from schools, churches, and hospitals. Fenabanca representatives, including its vice president José Armando Cedeño, have accused the government of “inaction” and “complicity,” noting that despite six meetings with President Luis Abinader, the number of illegal “verifone” (mobile betting) terminals has continued to surge unchecked.
New oversight council
The decree seeks to address these grievances by including industry stakeholders in the decision-making process. The newly formed Council will include delegates from Fenabanca, the National Racing Commission, and the Association of Sports Betting Shops, alongside religious oversight provided by Coadjutor Archbishop Monsignor Carlos Tomás Morel Diplán.
The Ministry of Hacienda and Economy is now responsible for adapting the legal instruments necessary to ensure that this new phase of regularization effectively halts the expansion of unauthorized gambling sites.
At the start of the Abinader administration, former Customs Agency director Quico Tabar was appointed to organize the sector. Tabar on several occasions complained the sector resisted to comply with the rules.
Over the years, governments have allowed generous tax conditions and lax oversight to the sector, boosting the proliferation of the betting shops.
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16 April 2026