North Macedonia Braces for Fierce Parliamentary Clash Over Sweeping Gambling Law Reforms

North Macedonian ministers and political parties are gearing up for a heated parliamentary showdown over the terms and passage of a new Gambling Law, a proposal set to dramatically reshape the industry while dividing opinion across the political and economic spectrum.

The legislation promises to introduce far-reaching restrictions long championed by Prime Minister Gordana Siljanovska-Davkova, but it has ignited fierce resistance from industry groups and opposition parties, who warn of an “economic fallout” for Europe’s youngest economy.

In 2024, after her election victory, Davkova’s newly empowered nationalist coalition pledged to overhaul the Gambling Act as part of a broader anti-corruption drive and North Macedonia’s bid for EU accession. The coalition frames gambling reform as both a public health necessity and a political statement on transparency.

The draft bill, approved by the cabinet in July and tabled in the National Congress by Deputy Prime Minister Izet Mejhiti, is presented as a decisive strike against the so-called “gambling mafia,” with the stated aim of protecting minors and tightening market oversight.

Its key measures include forcing casinos, slot machine clubs, and betting shops with gambling machines to relocate at least 500 metres away from schools, imposing a ban on gambling advertising, increasing operator taxes and fees, and ending the practice of opening unlimited outlets under a single licence.

Supporters claim the changes could reduce the physical footprint of gambling by as much as 70%, limit youth exposure, and centralise regulatory control in a market that has been steadily expanding for over a decade.

The stakes are high for the country’s economy. North Macedonia’s gambling sector is the largest private-sector employer, comprising more than 1,000 land-based venues—casinos, gaming halls, and sportsbooks—operating under a licensing framework with relatively low barriers to entry. Between 2018 and 2022, state revenue from gambling climbed from roughly €61 million to €88 million.

Yet the proposal has triggered a strong backlash from industry bodies, including ASOM and APIS, who argue the bill contains damaging loopholes. Critics allege it allows certain betting shops to remain near schools, grants exemptions to favoured operators, and—most controversially—establishes a state monopoly over online gambling, which they see as an outright competitive block against licensed private operators.

4H Agency, which has monitored the bill’s development since its early stages, struck a cautious tone: “This legislation is a double-edged sword. While it addresses legitimate concerns about problem gambling and organised crime, the creation of a state monopoly online risks driving players to unregulated platforms and undoing the law’s intended safeguards.”

North Macedonia’s gambling market is already one of Europe’s most complex, plagued by fragmented authority, overlapping jurisdictions, and entrenched ethnic and political divisions. Industry leaders fear the new measures could worsen these challenges, wiping out more than 10,000 direct jobs, putting another 50,000 in supporting sectors at risk, and stripping €280 million in annual tax revenue from state coffers.

The 4H Agency further warned: “Without a proper transition plan for affected workers and a robust enforcement framework, the law may inflict economic damage without delivering the promised social protections.”

Stakeholders have criticised what they call a rushed process with no formal public consultation or economic impact assessment. In a statement, ASOM said: “This is not regulation; this is consolidation of control into the hands of a few,” urging a full stakeholder review before the bill proceeds further.

Observers caution that beyond the immediate compliance costs, the government will face a critical test of its capacity to enforce the new framework while safeguarding public revenues.

In 2024, the previous parliament passed amendments to the Gambling Act, but then-President Stevo Pendarovski refused to sign off, demanding revisions. Now, with the balance of power shifted, the Davkova government has the political capital to push the reforms through—though not without confrontation.

If passed in its current form, the new Gambling Law would mark the most sweeping restructuring of the industry in decades. It would also put the government’s ability to balance social policy, fiscal responsibility, and the realities of criminal enforcement to the test in one of the Balkans’ most politically fragmented states.

By fLEXI tEAM