On December 3, 2025, Bulgaria’s National Assembly decisively voted against a proposed shift towards privatizing the gambling industry, opting instead to keep it under state control. This move occurred following another initiative that sought to privatize the National Lottery by issuing a tender, inspired by other European nations’ successes, like the model implemented in the United Kingdom.
The rejection of the privatization proposal was marked by a significant number of abstentions. Out of 168 voting members, 58 voted against privatization, 14 supported it, and 96 abstained, leaving the proposal short of the 121 votes required for passage. The motion was put forward by Hristo Rastashki of the Mech party, with backing from Vazrazhdane, both of which are known for their far-right stances and connections with Russian foreign policy, including support for Russia’s actions in Ukraine.
Kliment Shopov of the Vazrazhdane party voiced strong opposition to the current state of gambling, labeling it a societal problem that needs eradication. He condemned the practice as a harmful means of state revenue generation at the expense of vulnerable citizens. Despite his criticism, Shopov considered the proposal a better arrangement than the existing system, as it aimed to nationalize gambling activities, placing them under stricter state control.
However, critics argue that nationalizing gambling could backfire. Past examples show that state monopolies can lead to reduced channelization, which is the process of directing consumers towards legal gambling options. Such a monopoly may inadvertently boost the black market, as individuals might seek alternatives when legal options are limited or overly regulated.
Bulgaria’s gambling scene is notably visible, with casinos and gambling advertisements prevalent in cities despite regulations against such displays in certain areas. The lack of enforcement of these rules has allowed companies to exploit regulatory gaps, creating an environment rife with opportunities for unregulated operations.
Hristo Rastashki, another proponent of the state monopoly, maintained that consolidating gambling operations under the Bulgarian National Lottery and the Sports Totalizator would better manage the industry. However, this stance was met with opposition from the GERB-UDF party, particularly from Branimir Balachev, who argued against the economic repercussions. According to Balachev, the move could cost Bulgaria approximately EUR 200 million ($233 million) in tax revenues. He emphasized that Bulgaria has developed a niche as a gambling hub, attracting tourists from countries like Israel and Iran, which significantly boosts the local economy.
The debate over gambling regulation in Bulgaria is not new. The country, located at the crossroads of Europe and Asia, has often struggled with balancing economic benefits against social issues associated with gambling. Historically, countries that have opted for state monopolies on gambling have faced challenges including decreased tax revenue and increased illegal gambling activities. Meanwhile, countries that have moved towards privatization, like the UK, have seen increased competition and consumer choice but also face challenges in regulating an expanding and dynamic market.
Opponents of the state monopoly caution that removing the private sector from the gambling industry might not only lead to immediate financial losses but could also stifle potential growth. The lack of competition could result in inefficiencies and decreased innovation, which are often hallmarks of state-controlled industries. Furthermore, the state’s heavy involvement in gambling could create ethical concerns, as the government would be directly profiting from activities it simultaneously regulates.
This decision comes in the broader context of Bulgaria’s economic strategies, where gambling has played a significant role in tourism and local business. The gambling industry contributes substantially to the national budget, and any changes to its structure could have far-reaching consequences. As Bulgaria continues to navigate its economic policies, the balance between privatization and state control remains a contentious issue, reflecting broader ideological divides within the country’s political landscape.
In conclusion, while Bulgaria has chosen to maintain a state monopoly over its gambling industry for now, the debate continues. The decision underscores the challenges of managing a sector that is both economically vital and socially contentious. As other European countries continue to experiment with different models of gambling regulation, Bulgaria’s approach will be closely watched for its impacts on both the domestic market and its international reputation as a gambling destination.
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