Coljuegos, the Federal Gambling Authority of Colombia, has unveiled plans for a comprehensive regulatory project aimed at revamping the rules governing electronic slot machines (ESMs) in the country.
The prevalence of illegal ESMs in Colombia poses a significant challenge to the gambling industry and the state’s economy. Coljuegos estimates that there are currently 50,000 illegal machines operating across the country, contributing to a loss of revenue and undermining the integrity of the regulated gambling sector. Through its regulatory project, Coljuegos aims to terminate the illegal economy associated with unauthorized ESMs and restore balance to the market.
This move is seen as a crucial step in curbing the proliferation of unauthorized ESMs and eradicating the associated illegal economy. With an estimated market size of up to $200 million, illegal ESMs constitute a significant portion of the overall ESM marketplace, causing substantial revenue losses for the state.
Coljuegos’ regulatory project aims to promote territorial development by replacing illegal economies with legal ones. The project seeks to address the rampant operation of unauthorized ESMs across Colombia’s 32 federal territories, which has resulted in substantial revenue losses for the state. By overhauling the existing rules, Coljuegos aims to establish a regulated and transparent gambling environment, fostering the growth of legal businesses and safeguarding the interests of both operators and players.
To ensure a comprehensive and inclusive approach, Coljuegos has initiated a public comment period, allowing industry stakeholders and interested parties to provide feedback on the project’s initial proposals. This collaborative process reflects Coljuegos’ commitment to transparency and acknowledges the value of diverse perspectives in shaping the new regulations.
The project’s initial requirements stipulate that all venues operating ESMs must certify their business status with Coljuegos. This crucial step ensures that only legal and compliant businesses are eligible to operate ESMs, promoting equity and trust in the selection procedures. By implementing new criteria based on legality, opportunity and the promotion of peace, Coljuegos aims to create a level playing field for businesses operating in the gambling industry.
Coljuegos’ regulatory project also outlines the licensing and operational requirements that businesses must adhere to in order to operate licensed ESMs. While the specific details will be published at a later stage, the project proposes limiting the number of machines to 80 per operator, with the exact number contingent on the size of the venue and the local population.
In addition to the machine limits, the project addresses other crucial aspects such as the tender’s duration, certification for gaming machines, prize limits and the identification of technology suppliers. By defining these parameters, Coljuegos aims to establish a clear framework that promotes fair competition, protects players’ interests, and ensures the integrity of the gambling industry.
As the project progresses, Coljuegos will continue to engage with industry stakeholders and refine the regulations based on feedback received during the public comment period. By adopting a collaborative and transparent approach, Coljuegos demonstrates its commitment to creating a regulatory framework that supports the growth of the gambling industry while protecting the interests of all parties involved.
