Dominican Republic eyes state overhaul of National Lottery
The Dominican Republic is moving ahead with plans to reform its gambling industry, with lawmakers considering legislation to transform the country’s National Lottery into an independent state institution with more powers to regulate and oversee gambling activities.
Reportedly, under the bill, the National Lottery would no longer operate solely as a lottery operator under the Ministry of Finance and Economy. Instead, it would become a financially independent state entity and take on a much larger role in regulating the country’s gambling sector.
If approved, the National Lottery would become the primary authority responsible for supervising lotteries, sports betting, casinos, electronic gaming operations and other gambling-related activities across the Dominican Republic.
Proposals to centralise structure
The legislation was introduced by Senator Pedro Tineo, who says that a centralised regulatory structure would improve oversight and help formalise the industry. The proposal comes as part of wider government efforts to strengthen public finances and improve oversight of key industries amid ongoing economic challenges.
At present, gambling regulation is divided across different bodies, with some responsibilities shared between the National Lottery and the Directorate of Casinos and Games of Chance.
Supporters of the reform believe placing those responsibilities under a single institution would create a more streamlined system and improve enforcement efforts. The proposal follows the recent launch of the National Regularisation Plan for lottery offices, betting shops and gaming businesses under Decree 197-26.
The initiative aims to bring more operators into the formal economy, strengthen compliance standards and improve tax collection throughout the sector. While the National Lottery would gain broader supervisory powers, tax collection responsibilities would remain with the General Directorate of Internal Taxes (DGII). The Lottery would instead focus on inspection, regulation, licensing oversight and enforcement activities.
Rollout with fiscal package
As part of the transition process, National Lottery Administrator Teófilo Tabar has been appointed temporary head of the regularisation programme. The gambling reforms are unfolding alongside a wider fiscal package launched by the government to address economic pressures and generate additional revenue.
According to Finance and Economy Minister Magín Díaz, the measures are intended to strengthen public finances while protecting vulnerable groups and maintaining investment in public services.
Officials estimate the package could generate between DOP 40 billion ($670 million) and DOP 50 billion ($838 million) in additional revenue. Among the proposed measures is a temporary increase in corporate taxation for large businesses. Companies generating more than DOP1 billion ($16.8 million) in annual revenue would face a three-percentage-point surcharge on Corporate Income Tax until the end of 2028, potentially increasing the rate to 30 per cent.
The government is also planning higher fees on electronic transfers, a new tax on electronic cigarettes and a $10 increase in airline ticket taxes. The gambling industry is expected to contribute as well. Authorities have confirmed plans to introduce higher taxes on gambling-related activities and casinos, although specific details have not yet been released.
Taken together, the crisis reforms are being done to tighten oversight of the gambling sector while improving government revenues. If the proposed legislation is approved, the National Lottery would emerge as the central pillar of gambling regulation in the Dominican Republic.
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