This year became for the hebling of the industry in Armenia quite tough. Gradual measures to tighten the rules for the conduct of gambling business led to its full closure in the country. Why did the state decide to change the rules for gambling, and whether there are prospects for the development of the industry in the future?
Development history Gambling industry
Armenia is not the only country that supported the gambling sector for the development of the tourist sphere. After all, these two market are inseparable. Therefore, the game market successfully flourished until the state change. The current Prime Minister performs strictly against the development of gambling in the country, and with its submission for this sector, strict restrictions began to operate. And since 2020, all ground gambling institutions of any format will be illegal in the country.
18 years ago the first legal casino appeared on the territory of the country. Next year, the state has established a rule, according to which companies must give 70% of the profit in the treasury. The next couple of years, laws for gambling business simplified, and the gambling sector in the country began to develop rapidly. But at the beginning of the next century, the rules tightened, and the appearance of gambling objects suspended. The next radical step was the ban on the functioning of gambling establishments in the capital. This is a rather strange step in terms of rationality, because judging by the experience of other countries, gambling facilities are developed in the capital because of the large influx of tourists. Soon raised prices for documents that allowed operators legally working. The cost has become 5 times more.
In 2019, the State Armenia decided to move all gambling entertainment in the gambling zones. Such zones will be 4 in the country. Online casinos will also be closed for Armenians. Now slot machines will not be available at any time of the day and night.
Officials explain these prohibitions by protecting their citizens from the development of gambling addiction. But we all know the consequences of such good intentions from the experience of other countries. With full ban on a gambling business, he goes to the shadow, the government will not be able to control their work and guarantee compliance with all rights for players. In such conditions, luda.
Looking at hard restrictions, there are 2 institutions in the country that provided their visitors at the highest level.
How citizens react to restrictions
It is worth noting that the bookmakers gave more than 2 thousand citizens work. Soon these people will become unemployed. Check income and tenants who handed out their premises for rent operators.
The reaction to gambling in each country is ambiguous. In Armenia, most citizens went to protests due to banning for gambling.
After the statement of the state on the closure of gambling facilities in the country, officials did not explain how the hole will be covered in a budget of $ 22 million. Although the gambling zones will be located in resort cities, it does not mean that the business will bring the same money to the treasury. Still, a tax of 20% is not an advantage to attract investors.
Such radical measures adopted by the Armenian state leave the development of the gambling industry in the country practically no chance. To change the situation for the better, it is necessary to mitigate the conditions for the functioning of gambling institutions, lower the license cost and tax rate.