Baltic States to Boost Revenue with Gambling

The Baltic nations, Estonia and Lithuania, are just a handful of countries around the world at the moment moving to liberalize their gambling laws in order to counteract the effects of the worldwide economic downturn. The countries hope to increase government revenue as a result of the new taxes.

Lithuania is reportedly about to review its gambling laws. Gambling in the small Baltic nation has been legal in most forms since 2001. However, many online casinos and companies have chosen to steer clear of investing in Lithuania as its strict legal framework blocked gaming operators from taking advantage of technological advances. These new laws mean that bookmakers from the European Union will now be able to offer bets and online casino games to Lithuanians, says players' rights advocate Right2bet.

Earlier this month, Estonia decided to legalize online gambling thus reversing previous legislation that provided that online casino sites had to be located outside of Estonia. The Estonian government was forced to find new sources of income after its economy dropped by 36 percent. The new laws will only come completely into force in 2011 by which point the Estonian market will be open to all international gaming operators who fulfill the requirements established by the local gaming authority.  For now, however, Estonians can play online with domestic-based operators.

Online gambling in Latvia, on the other hand, has been legal for some time. However, its gambling industry was strongly affected by the global recession. Since 2003, players have been required to pay a 10 percent interactive gambling tax. Nonetheless, the industry has suffered sharp declines in revenue. Conditions are expected to improve in the second half of 2010.