Presidential Decree Rafael Correa (2011) - complete ban on casinos

Context: Referendum and political decision

On May 7, 2011, Ecuador hosted the nationwide Consulta Popular (popular consultation/referendum). Among the questions was a clause banning casinos and gambling halls, which received the approval of the majority of voters. This paved the way for immediate regulatory implementation of the decision by the executive branch.

Key document: Decree (Decree) No. 873 of 16. 09. 2011

The realization of the will of the voters was formalized by Decree (Decree) of the President No. 873, published in the Register Oficial Suplemento 536 of September 16, 2011 (with clarifications on October 3, 2011). The document established a complete ban on gambling activities in casinos and game halls, regulated the closing procedure and entrusted the Ministry of Tourism with the development of detailed rules for completing activities.

What Decree No. 873 provided

Six-month, "non-renewable" deadline for the termination of all casinos and gambling halls, calculated from the date of official publication.

The obligation of the relevant department (Ministry of Tourism) to establish the procedure for control and completion of activities within 5 days after the entry into force of the Decree.

Abolishing conflicting rules of equal or lesser legal force to eliminate regulatory loopholes and conflicts.

Closing dates and "last day"

Based on the six-month window, the actual shutdown came in March 2012. A number of well-known casinos at large hotels (Hilton Colón, Sheraton, Oro Verde, etc.) stopped working ahead of schedule; the news recorded the "last day" - March 16, 2012 - as a deadline not subject to extension, after which the objects were subject to final closure.

Enforcement and sanctions

After the ban came into force, there were criminal and administrative consequences for persons who would continue to create, administer or launch casinos/halls/bookmakers, up to and including real imprisonment. These provisions reinforced "zero tolerance" for attempts to circumvent the ban.

Industry scale at closing

Profile media estimated that dozens of objects across the country fell under the ban (about 32 casinos appear in publications), which emphasizes the noticeable size of the segment in the previous decade.

Economy and society: direct and indirect effects

Employment and tourism. The closure deprived hotels of "anchor" evening entertainment for tourists and VIP customers. Some of those employed in casinos and related services (F&B, taxis, events) lost their jobs or moved to other segments. (Interpretation based on official prohibition and closure reporting.)

Social policy. The initiators of the ban emphasized the goal of "improving" the environment and protecting vulnerable groups traditionally associated with risk behavior and ludomania.

What came next: Online agenda and renegotiation discussions

Physical gambling infrastructure was eliminated, but with the growth of mobile Internet in the 2010s, "gray" online practice (access to foreign sites) and the question of whether to introduce a regulated model with licenses and taxes were discussed. In 2024-2025, the topic of partial return of casinos (for example, in hotels 5, strict rules and taxes) returned to the political agenda: a number of proposals were submitted to the Constitutional Court for consideration and to the format of a new consultation. Court decisions on the wording of the issues in 2025 opened/closed the way to a referendum, but the key background remained the same: the 2011 ban as the current norm.

Decree No. 873 (16. 09. 2011) became a legal "chopper" that translated the will of voters into a complete and controlled ban on casinos and gambling halls, set a tough, six-month and non-defensible closure schedule, and established a mechanism for supervision and sanctions. March 16, 2012 became the actual point of the final stop of the offline casino industry in Ecuador. Further history is already a dispute over whether the managed return of the sector under strict regulatory parameters is possible, or the preservation of the 2011 model.

• The text and details of Decree No. 873, the closing procedure and regulatory details - according to the official publication and consolidated versions of the regulations and the register.
• The dates of the deadline and actual closure are from news reports from 2011-2012.
• Referendum context (07. 05. 2011) - based on summary materials.
• Modern discussions (2024-2025) - according to media reports and industry media.