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Telecommunications in Paraguay: CONATEL, concessions, licences, spectrum, share transfer approval and fees

Last verified: 2026-10-28 · Status: Stable

Telecoms in Paraguay run under Ley 642/1995 and its regulator, the Comisión Nacional de Telecomunicaciones (CONATEL): basic fixed telephony is a public service granted by concession with a contract approved by Congress, broadcasting and value added services (which include mobile telephony) need a CONATEL licence, and private radio networks need an authorisation. Terms are 20 years for public services, 10 years for broadcasting and five years for other services; every grant pays a one off right within 60 days and commercial operation pays an annual fee of up to 1 percent of gross revenue. Rights cannot be transferred, and any change in the holders of registered shares of a telecom operator needs prior CONATEL approval, which shapes every M&A deal; fines run up to 1,000 monthly minimum wages per infraction.

USD figures use PYG 5,868.31 per US dollar, the Banco Central del Paraguay reference quotation in the planilla for Wednesday 28 October 2026. Amounts set in daily minimum wages (jornales) use PYG 117,077 and those in monthly minimum wages use PYG 3,044,000, both in force since 1 July 2026 under MTESS Resolution 670/2026. Conversions are for orientation only.

Key facts

Term, public telecom service concessions (renewable)	20 yearsLey 642/1995 art. 73 a) as amended by Ley 4179/2011, as of 2026-10-28 · in force
Term, broadcasting licences (renewable for equal period)	10 yearsLey 642/1995 art. 73 b) as amended by Ley 4179/2011, as of 2026-10-28 · in force
Term, other services (renewable on request)	5 yearsLey 642/1995 art. 73 c) as amended by Ley 4179/2011, as of 2026-10-28 · in force
Annual commercial operation fee, ceiling	1 % of gross revenueLey 642/1995 art. 70 as amended by Ley 4179/2011, as of 2026-10-28 · in force
Deadline to pay the concession, licence or authorisation right	60 daysLey 642/1995 art. 70 as amended by Ley 4179/2011, as of 2026-10-28 · in force
Change in registered share ownership of a telecom operator	Prior CONATEL authorisation Ley 642/1995 art. 69, as of 2026-10-28 · in force
Notice to CONATEL of bylaw or director changes	30 daysLey 642/1995 art. 69, as of 2026-10-28 · in force
Basic service concession contracts approved by	Congress, by law Ley 642/1995 art. 62, as of 2026-10-28 · in force
Maximum CONATEL fine per infraction	1,000 monthly minimum wagesLey 642/1995 art. 101 c), as of 2026-10-28 · in force
Paid mobile credit and minutes	No expiry, unused minutes roll over Ley 642/1995 art. 93 h) as amended by Ley 5177/2014, as of 2026-10-28 · in force

The rule

1. Regulator and service classes. The radio spectrum belongs to the public domain of the State. CONATEL is an autonomous public law entity that regulates national telecommunications and relates to the Executive through the Ministerio de Obras Públicas y Comunicaciones. Services are classified as basic services (local, national long distance and international long distance switched telephony by cable or fixed radio), broadcasting services (radio, television, cable and other one way distribution) and other services (value added services, private services, amateur radio, small coverage broadcasting and services reserved to the State). Basic services are public services provided under concession; broadcasting and value added services under licence; other services under authorisation. Value added services, which by law include data storage and retransmission, teleprocessing and cellular mobile telephony, are provided under free competition by persons registered in the Registro Nacional de Servicios de Telecomunicaciones; CONATEL decides which require a licence, and those using their own networks need express authorisation. Private networks serve only the holder's own needs and its group and cannot be resold to third parties.
Cost to do it: Registration and licence costs are set by CONATEL rules, not in the law; see the right and annual fee rule below.
Example: A Paraguayan company offering cloud data hosting over leased capacity registers as a value added service provider; if it builds its own fibre network it also needs express CONATEL authorisation. / A US$5 million private microwave network for a mining camp is a private service: it may carry only the group's own traffic, not sell capacity to others.Ley Nº 642/1995, de Telecomunicaciones, Art. 1, 6, 19, 20, 21, 28, 31, 46 to 52, 1995-12-29 official text · verified 2026-10-28

2. Concessions, licences and authorisations. A concession is the act by which the State grants a person the right to provide a public service for a fixed term, and it is perfected by a written contract approved by Congress; licences and authorisations are granted by CONATEL under its own requirements. Rights granted are non transferable without prior CONATEL authorisation, and a transfer without it terminates the concession by operation of law or voids the licence or authorisation. Under the text enacted by Ley 4179/2011, grants have a term of 20 years for public telecom services, renewable under the concession contract; 10 years for broadcasting, renewable for the same period; five years for other services, renewable on request; and shorter terms for exceptional or special services. Pending a renewal decision, a grant is extended on a precarious basis for up to 90 days, once more for another 90. As an example of the Congress step, Ley 7562/2025 approved the basic services concession of the Compañía Paraguaya de Comunicaciones S.A. for 20 years from 15 May 2022, renewable for equal periods, with the renewal request due three years before expiry and any assignment, merger, spin off or change of direct control subject to prior written CONATEL approval.
Cost to do it: Concession, licence and authorisation rights are payable within 60 days of grant (see next rule); the Congress approval step adds legal and time cost for basic service concessions.
Example: A new fixed telephony operator signs its concession contract with CONATEL, but it only takes effect once Congress passes a law approving it, as Ley 7562 did for the state operator in November 2025. / A broadcaster buying a radio station must get CONATEL authorisation for the licence transfer first; an unapproved transfer voids the licence.Ley Nº 642/1995, as amended by Ley Nº 4179/2011; Ley Nº 7562/2025, Ley 642 art. 62 to 66, 72 and 73; Ley 7562 contract clauses 4 and 8, 2025-11-05 official text · verified 2026-10-28 · changed: Ley 4179/2011 (28 March 2011) rewrote art. 70, 73 and 100 of Ley 642; Ley 7562/2025, promulgated 5 November 2025 and published 6 November 2025, approved the Compañía Paraguaya de Comunicaciones S.A. concession contract.

3. Share and management changes. Every amendment to the bylaws of an entity holding a concession, authorisation or licence, and every change of directors, managers or attorneys, must be notified to CONATEL within 30 days with supporting documents. Any change in the ownership of registered shares of entities providing telecom services requires prior CONATEL authorisation.
Cost to do it: No fee in the law; the cost is timing, since the share transfer cannot close before CONATEL authorises it.
Example: A foreign buyer acquiring 100 percent of a Paraguayan internet provider S.A. makes CONATEL authorisation a condition precedent; a new board elected at closing is then notified within 30 days. / In a US$30 million acquisition, the purchase agreement should allocate the risk of a CONATEL refusal and set a long stop date that allows for the approval.Ley Nº 642/1995, de Telecomunicaciones, Art. 69, 1995-12-29 official text · verified 2026-10-28

4. Right and annual fee. Concessions, licences and authorisations pay a right within 60 days of being granted or renewed, once per period; on renewal the right is based on expansions or new investment. Commercial operation pays an annual fee of up to 1 percent of the provider's gross revenue. Spectrum rights and fees follow a CONATEL regime based on number and class of stations, type of service, frequency use and emission characteristics. Revenue from rights, fees and fines goes to telecom development, CONATEL's control work and international dues. A Fondo de Servicios Universales administered by CONATEL subsidises public service providers in areas that justify it.
Cost to do it: Annual fee of up to 1 percent of gross revenue; one off right within 60 days of grant or renewal in the amount CONATEL sets.
Example: An operator with gross revenue of PYG 58,683,100,000 pays at most PYG 586,831,000 a year in the commercial operation fee. / On US$10 million of gross revenue, the fee ceiling is US$100,000 a year, before spectrum fees.Ley Nº 642/1995, art. 70 as amended by Ley Nº 4179/2011, Art. 70, 92 d), 97 and 133, 2011-03-28 official text · verified 2026-10-28 · changed: Ley 4179/2011 rewrote art. 70 to set the 60 day payment of the right and the annual fee of up to 1 percent of gross revenue.

5. Tariffs and mobile credit. Public service concessionaires set tariffs freely up to CONATEL price caps; other tariffs are free and set by supply and demand, subject to CONATEL reasonableness control, and CONATEL may set tariffs in markets that are not competitive enough. Concerted practices that restrict competition are prohibited. Providers must publish their tariff structure in two widely circulated newspapers within 30 days of the grant taking effect and before changes apply, send a signed copy to CONATEL and provide accounting and cost data on request. For mobile telephony and internet, minutes credited by postpaid plan, prepaid card, virtual top up or any other form do not expire and unused monthly minutes roll over automatically, except promotional balances. Interconnection between public networks is mandatory, must be neutral and non discriminatory, and disputes go to CONATEL.
Cost to do it: No fee; compliance cost of publication and system changes for non expiring credit.
Example: A mobile operator cannot design a prepaid plan where paid minutes expire at month end; only promotional bonus minutes may lapse. / A new MVNO pricing at US$10 a month must carry paid unused minutes forward to the next month.Ley Nº 642/1995, art. 93 as amended by Ley Nº 5177/2014, Art. 77 to 79, 92, 93 (text of Ley 5177 art. 1), 94, 95 and 96, 2014-05-07 official text · verified 2026-10-28 · changed: Ley 5177/2014, promulgated 7 May 2014, added letters f) to h) to art. 93, including the non expiry and rollover of mobile credit.

6. Sanctions. CONATEL sanctions holders after an administrative proceeding with a right of defence: warning, reprimand, a fine of 3 to 1,000 monthly minimum wages or up to 100 percent of the amount involved, suspension, cancellation (only by unanimous vote of the CONATEL board), confiscation and refunds to users. Directors, managers and administrators are sanctioned personally: for serious infractions a public reprimand, a fine of 10 to 100 monthly minimum wages and removal with a 3 to 10 year ban; for minor ones a private reprimand and a fine of 1 to 20 monthly minimum wages. Serious infractions include acting without required authorisation, service interruptions and giving false information to CONATEL. Installing or operating a broadcasting service without a licence carries a fine of 300 to 500 daily wages, or 500 to 1,000 if the offender profited, seized equipment is destroyed, and illegal provision bans those responsible from holding telecom grants for five years, doubled on repeat. Actions for serious infractions prescribe in three years and for minor ones in one year.
Cost to do it: Company fines from 3 monthly minimum wages, PYG 9,132,000 (about US$1,556) up to 1,000 monthly minimum wages, PYG 3,044,000,000 (about US$518,718); personal fines for directors up to 100 monthly minimum wages, PYG 304,400,000 (about US$51,872).
Example: A provider that suffers an unreported total outage risks a serious infraction finding: a fine of up to PYG 3,044,000,000 for the company and up to PYG 304,400,000 for each responsible director. / The company fine ceiling is about US$518,718, and a director can be barred for 3 to 10 years from managing any CONATEL supervised entity.Ley Nº 642/1995, as amended by Ley Nº 4179/2011, Art. 100a, 100b, 101, 104, 105 and 106, 2011-03-28 official text · verified 2026-10-28

Service	Grant	Granted by	Term
Basic fixed telephony (local, national and international long distance)	Concession	CONATEL contract approved by Congress	20 years, renewable
Broadcasting (radio, TV, cable)	Licence	CONATEL	10 years, renewable for 10
Value added services (including mobile telephony and data)	Registration; licence where CONATEL requires; authorisation for own networks	CONATEL	5 years, renewable on request
Private networks and radio equipment for own use	Authorisation	CONATEL	5 years, renewable on request

Grant types under Ley 642/1995

Worked example

Acquisition: a foreign group buys a Paraguayan internet provider S.A. with gross revenue of PYG 58,683,100,000 (US$10 million). Before closing it needs CONATEL's prior authorisation for the change in registered share ownership (art. 69); after closing it notifies the new board within 30 days. The target keeps paying the annual operation fee of up to PYG 586,831,000 (US$100,000) plus spectrum fees.
Unlicensed broadcasting: a company that sets up an FM station without a licence and sells advertising faces a fine of 500 to 1,000 daily wages, PYG 58,538,500 to PYG 117,077,000 (about US$9,975 to US$19,951), destruction of the equipment by court order and a five year ban from holding telecom grants.

Step by step

Classify the service under Ley 642 art. 19: concession, licence, registration or authorisation decides the timeline.
Incorporate locally and register in the Registro Nacional de Servicios de Telecomunicaciones before offering value added services.
Apply to CONATEL for the licence, authorisation or spectrum assignment and pay the right within 60 days of the grant.
Homologate all equipment: connecting or selling non homologated equipment is prohibited, and CONATEL must decide on homologation within at most 90 days (art. 75 and 76).
Publish the tariff structure in two newspapers within 30 days of the grant taking effect and file a signed copy with CONATEL.
Calendar the annual fee, and request renewal well before expiry; concession contracts may set earlier deadlines, such as three years before expiry in the 2025 COPACO contract.

Common traps

Share deals are not invisible to the regulator: any change in registered share ownership needs prior CONATEL authorisation (art. 69), and a transfer of the grant itself without approval voids it (art. 66).
Basic fixed telephony needs a concession approved by Congress, which adds a legislative step to the timeline.
Private networks cannot sell capacity to third parties; group companies count as one person, but outside customers turn the service into a licensed one.
Directors and managers face personal fines and bans of 3 to 10 years for serious infractions by the operator (art. 105).
The CONATEL compiled text of art. 73 speaks of a minimum term, while the Ley 4179/2011 text on BACN sets a term of 20, 10 and 5 years; read the grant itself for the exact term. The BACN record dates Ley 4179 to 28 March 2010, but its own text shows the veto was overridden on 8 March 2011, and the CONATEL compiled text dates it 28 March 2011. The CONATEL text compiles amendments up to Ley 4179/2011; Ley 5177/2014 later extended art. 93, and spectrum licence term reforms have been discussed but none was found enacted on the verification date.

Sources

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