Panama enacts Law 527 to strengthen problem gambling controls

Panama has published Law 527 in the Official Gazette, creating a new responsible gambling framework for casinos, online betting platforms and gambling operators, while treating gambling addiction as a public health and consumer-protection issue.

Panama has enacted Law 527 of May 23, 2026, a new legal framework designed to prevent, treat and control problem gambling in the country. The law was published in Official Gazette No. 30534-B on May 28 and applies to land-based gambling, digital betting platforms, mobile apps, websites and electronic systems that offer games of chance, betting or activities involving economic risk linked to chance.

The law places problem gambling within a broader public health framework. Its stated objective is to protect the integral health of Panamanian society, with special attention to vulnerable groups. It also requires future regulation to consider technical and scientific studies on problem gambling, public health recommendations and international best practices for addiction prevention.

For operators, the new framework introduces mandatory player-protection tools. Platforms, casino machines and electronic systems must allow users to set time and spending limits, receive preventive notifications and access functions that help them control their gambling behaviour when risk patterns are detected. These measures are intended to reduce economic harm, protect minors and vulnerable people, and lower the incidence of gambling disorders.

The law also creates a funding mechanism for treatment. Through the Ministry of Economy and Finance, a fund will be established for the National Institute of Mental Health to develop and maintain a treatment centre for gambling addiction. The fund will be financed by 0.5% of the annual income paid to the National Treasury by regulated gambling operators in Panama.

Protection of minors is one of the central elements. The law prohibits access by children and adolescents under 18 to any type of gambling or betting, whether in physical casinos or digital platforms. Online betting platforms must implement biometric identity and age verification, while full casinos and Type A machine halls must progressively add facial recognition tools to their video-surveillance systems within six months to identify excluded persons.

The law also strengthens payment and security rules. Transactions on digital platforms, mobile apps, websites, electronic machines and automated betting systems may only be carried out through legally accepted payment methods in Panama. Operators must integrate certified security tools compatible with national and international standards on data protection and fraud prevention, including biometric validation and detection of unusual or risky transactions.

Non-compliance can lead to significant sanctions. Operators that breach the law may face fines from B/.25,000 to B/.100,000, with repeat offences punished by double the original fine. In more serious cases, the regulator may order temporary licence suspension, permanent cancellation, or blocking of the domain or digital application.

The Junta de Control de Juegos is designated as the competent authority for supervision, enforcement and sanctions. It may coordinate with the National Authority for Government Innovation, the Ministry of Health, the Ministry of Economy and Finance and other relevant institutions. The Board is also empowered to order the blocking, cancellation, suspension or restriction of websites, platforms, apps, domain names, IP addresses and other technological tools used by unlicensed national or international operators.

Telecommunications operators and internet service providers must comply immediately with blocking orders issued by the Junta de Control de Juegos. Failure to do so can result in fines ranging from B/.300,000 to B/.1m per violation, and intermediaries may be treated as jointly responsible if unauthorised operations remain accessible in Panama.

For Panama’s gambling market, Law 527 marks a shift from basic gambling authorisation toward a more comprehensive responsible gambling and public health model. The next step will be implementation: the Executive Branch must regulate the law within six months, while operators will need to update age checks, payment systems, user controls, surveillance tools and compliance procedures.