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Statement on the inappropriateness of reforming the public administration in the sphere of gambling


As the Chairman of the largest specialized gambling Association, I keep seeing calls in the media for reforming the gambling industry and even eliminating the state regulator organizing its operation.


First, I would like to note that from the point of view of the business organization, when a new industry appears, it is recommended to avoid fundamental changes or transformations of the business model development for three to five years. The business model crucially depends on communication with the state regulator and the organization of the public administration. That is why from an investment point of view, these transformations are definitely untimely. Second, in the case of Western investors, they are strongly against the behind-the-scenes bureaucratic games around the industry. That is why initiating such changes in the public regulation of gambling will result in the collapse of confidence in the Ukrainian jurisdiction. Moreover, we should remember that from the point of view of transparency, the developed Western countries have separate specialized state regulators (like CRGL) created specifically for the gambling industry. Third, you need to understand that shifting the issuance of licenses online will not solve numerous problems faced by the State, namely preventing gambling addiction, fighting against illegal operators, etc.


Moreover, I believe that the idea of fully computerizing​​ the issuance of licenses will be directed at and will open the doors for the companies established by the russian aggressor, which will be able to enter the Ukrainian market and steal our citizens’ personal data and money. Computerization will not solve the issue of gambling oversight and control. It will also not solve the issue of social responsibility of gambling advertising and plenty of other things.

As the Chairman of the Association, I believe that the Commission for Regulation of Gambling and Lotteries deserves great respect. Every year, this state body earns ten times more than the State spends on its activities. Great respect is felt for the Head of the Commission, who demonstrated by personal example that he is ready to defend and protect our State’s sovereignty and territorial integrity not by word but by deed.


I take this opportunity to suggest transformations we need to all interested state bodies and politicians:


1. Introduce the State Online Monitoring System (DSOM).

2. Adopt draft law 2713-d.


Any topic initiation on changing the market under new conditions and postponing urgent tax issues will only complicate the life of legal business, while illegal business will grow. In turn, I would like to emphasize again that the UGC is ready for extensive dialogue on the necessary public decisions to develop the gambling industry. We are always open to all state bodies and willing to provide our analytics and contribute to the development of our industry. I am personally convinced that only by joint efforts we can get an effective result that will benefit the State.

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