Sports betting operates in a complex legal environment in Guatemala where it is technically illegal but functions under a semi-legal framework with discretionary licensing by government authorities. According to Guatemala's Penal Code, all forms of gambling have been prohibited since 1880, with Section 477 of Decree Number 17-73 specifically criminalizing gambling activities (1). However, despite this legal prohibition, sports betting establishments continue to operate throughout the country with licenses granted by the Ministry of Interior, creating a contradictory regulatory situation where the activity exists in practice while remaining officially illegal.
The government has recognized the need for comprehensive gambling regulation, with multiple legislative initiatives presented to address the current legal ambiguity and prevent illegal activities such as money laundering and drug trafficking. An initiative has been presented to regulate gambling and public events in order to establish proper oversight and control mechanisms (2). The most notable regulatory proposal, known as Law 4294, has been under consideration since 2011 and contains 146 articles designed to create a comprehensive framework for gambling regulation, including sports betting operations.
"The only fully licensed form of gambling is the state lottery, and that has only been in existence since 2005. Sports betting also operates, but under a semi-legal framework with licenses granted at the discretion of the Ministry of Interior."
Licensed sports betting operations must obtain authorization from the Ministry of Interior, though this regulatory body functions primarily as a licensing entity without comprehensive oversight responsibilities for monitoring compliance or preventing criminal activities. The lack of a dedicated gambling regulatory agency has created significant gaps in supervision and enforcement (1). Multiple attempts have been made to establish proper regulatory frameworks, including proposals for creating a National Commission of Gaming and a Superintendent of Gaming, but these initiatives have remained largely as legislative drafts without successful implementation, leaving the sports betting industry operating in a legal gray area with minimal governmental oversight.
Source:
https://www.igamingtoday.com/gambling-regulation-in-guatemala/
https://www.centralamericadata.com/en/article/home/Guatemala_Proposal_to_Regulate_Gambling
Last updated: 24-07-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.