North Macedonia to bring online gambling under full state control from 2027

North Macedonia’s Assembly has approved a new Law on Games of Chance and Entertainment Games that will fundamentally reshape the country’s online gambling market, with the right to organise online gambling transferred exclusively to a wholly state-owned company from January 1, 2027.

The legislation, passed on June 29 and entering into force in July, replaces the framework that has governed the sector since 2011 following several years of political debate and legislative revisions. The law was approved by 60 votes to 20 after previous attempts to reform the sector failed to secure parliamentary backing.

Perhaps the most significant change concerns online gambling ownership. Under the previous legislation, private companies could participate in organising electronic and online games provided the operating company was majority state-owned. From January 1, 2027, however, only a company that is 100 per cent state-owned will be able to hold the organising right for online gambling.

While private operators will no longer be able to hold the licence directly, they are not being excluded from the market altogether. The state-owned operator will be permitted to subcontract technology providers, platform suppliers, content developers and operational services through public procurement procedures, effectively positioning the state as the sole licence holder while outsourcing elements of the operation.

The legislation also introduces significant financial and compliance changes for the sector.

The licence fee for internet gambling will increase from €50,000 for a four-year licence to €200,000 for a 10-year licence. Taxation will also change, replacing the previous 0.5 per cent levy on total payments with a 15 per cent gross gaming revenue tax for electronic games and a six per cent levy on lottery payments.

Operators and suppliers will face more stringent regulatory obligations, including mandatory ISO/IEC 27001 and ISO/IEC 27701 certification, the use of a North Macedonian “.mk” domain, payment processing exclusively through domestic banks, and enhanced fit-and-proper assessments covering managers and shareholders. The law also introduces loss of reputation as an explicit ground for licence revocation.

Alongside the online gambling reforms, the legislation strengthens responsible gambling measures by requiring gambling venues to be located at least 500 metres from primary and secondary schools, measured via the safest pedestrian route. The government has said the wider package is intended to improve consumer protection, combat the grey market and strengthen anti-money laundering controls.

The reforms place North Macedonia on a markedly different regulatory path from several neighbouring European markets, where governments are increasingly considering greater private sector participation rather than expanding state control. According to industry observers, the new framework represents one of the clearest examples in Europe of a government consolidating ownership of online gambling rather than liberalising the market.