Daniel Noboa, President of Ecuador, has announced that the reopening of casino and gaming hall venues will be added to the government’s upcoming referendum agenda, marking a significant policy shift since gambling was banned in 2011.

In a surprise move, Noboa added casino legislation into the legislative roadmap of the Acción Democrática Nacional (ADN) government. After winning re-election in May 2025, the Ecuador leader committed to advancing a slate of referendums targeting structural reforms. These included the abolition of the Council that appoints control authorities, reduction of National Assembly seats, elimination of public funding for political parties, authorisation of hourly labour contracts, and approval of foreign military bases to combat organised crime.

Yesterday, via Twitter (X), Noboa confirmed that a referendum on the reintroduction of casinos will be submitted to the Constitutional Court, alongside the other six civic reform proposals. The President proposed allowing casino and gambling operations exclusively in five-star hotels, under a regime where operators would pay a 25% sales tax. The proceeds would be earmarked for social programmes, particularly efforts to combat chronic child malnutrition.

The government positions the casino proposal as part of a broader strategy to revitalise tourism, create employment, and generate new tax revenues — a reversal of policy that departs from former President Rafael Correa’s 2011 referendum, which shut down all licensed gambling operations across Ecuador, citing moral and financial risks including money laundering and addiction.

The current proposal is more limited in scope, and the government emphasises that the operation of gaming halls would be strictly regulated and confined to high-end tourism zones. Supporters argue that the measure could help restore thousands of jobs lost since the 2011 ban, while opponents warn of potential social harms and regulatory challenges.

The seven referendum questions are expected to be held before the end of 2025, allowing Noboa and the ADN administration to solidify their reform mandate ahead of the 2026 municipal elections. Final approval of the referendum language now lies with the Constitutional Court, which must assess each proposal’s legal validity before the National Electoral Council (CNE) can set a formal date.

Referendums in Ecuador do not guarantee that regulation will be enacted, even if voters approve the proposal. Noboa seeks to gauge public sentiment as part of ADN’s broader legislative agenda.

Noboa, who has described himself as “a moderate on gambling,” originally intended for casino-gambling laws to be examined during his first tenure, but withdrew the plans, citing poor timing for public debate. That version of the proposal suggested allocating casino tax proceeds to mental health services and public safety.

Prior to launching his 2025 re-election campaign, Noboa stated: “This government has three clear objectives: one, the intervention of the armed forces in the fight against crime; two, support from the justice system so that those convicted of organised crime serve longer sentences… 

The third objective is to  boost the economy if approved, referring to the proposed question that would seek the green light to reopen casinos and similar businesses in Ecuador.” 

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