On Monday, Bulgaria’s ruling coalition submitted legislative amendments to privatise the state-run lottery and sports betting operations, marking a significant shift in the nation’s gambling sector. The proposal aims to establish a long-term private concession for the Bulgarian Sports Totalizator (BST) and was presented to the Budget and Finance Committee and the National Assembly. If approved, this could reshape the state monopoly currently held since 2020.
Key figures behind this legislative move include Kostadin Angelov from GERB, Dragomir Stoynev of the BSP, and Yordan Tsonev from DPS–New Beginning, who are pushing amendments through the transitional and final provisions of the State Budget Law. The proposed changes are set for a second reading on November 28, and supporters argue the move is necessary due to underperformance in lottery revenues under the current state-managed model.
Since its establishment as a monopoly, the BST has consistently failed to meet revenue targets. In 2023, it generated BGN 170.034 million (€86.8 million) against a forecast of BGN 190 million (€96.9 million). The following year, the target was set at BGN 188.701 million (€96.3 million), yet actual performance lagged at BGN 182.640 million (€93.2 million). Proponents of the privatisation argue these figures demonstrate the BST’s inability to compete with private operators, prompting calls for a concession model to increase efficiency and profitability.
The proposed framework stipulates that a public call for the national lottery and sports betting concession will be issued by March 31, 2026. Eligibility would be limited to Bulgarian-registered companies or foreign entities with a physical presence in Bulgaria. The concession would span a minimum of 15 years, granting the winning operator control over BST’s outlets, systems, intellectual property, and other assets. The Minister of Youth and Sports would oversee the concession, ensuring compliance and managing the contract.
Once the concession is in place, the BST will cease operating gambling services, and current tickets and betting slips will be invalidated. Financially, the concession structure allocates 10 per cent of corporate tax payments from the operator to the Ministry of Youth and Sports. A fraction of this would support the National Culture Fund, and 30 per cent of the concession fee would benefit sports clubs and federations.
The proposal has stirred controversy, mainly due to the recent nationalisation of BST after revoking the licenses of Vasil Bozhkov, a businessman implicated in corruption scandals. The revocation followed allegations against the former State Commission on Gambling for accepting bribes. Since 2020, the Bulgarian Revenue Agency has handled gambling regulation. Critics argue that the privatisation effort is politically motivated, primarily to benefit DPS–New Beginning and figures linked to Delyan Peevski, a controversial political player.
Ivaylo Mirchev of Yes, Bulgaria (part of WCC–DB), vocally opposes the move. He suggests that the push for privatisation is designed to serve the interests of DPS–New Beginning, especially those associated with Peevski, whose mother, Irena Krasteva, previously led BST. Attempts to form a parliamentary commission to investigate potential conflicts of interest were reportedly blocked by GERB MPs.
While some industry insiders believe privatisation could drive growth and modernization in the sector by bringing in private expertise and investment, others worry about the implications for oversight and integrity. The shift from a state-run to a privately managed gambling landscape could bring new challenges in maintaining fair play and preventing monopolistic behaviors.
The debate continues as stakeholders in Bulgaria’s gambling industry and political landscape weigh the potential benefits and risks of privatising the Bulgarian Sports Totalizator. As the legislative process unfolds, the final decision will likely set a precedent for future governance of state assets and operations in the country.
