Ukraine aims to simplify the process of suspending licenses
Published March 21, 2023 by OCR Editor
The Ukrainian government is seeking to streamline the license suspension process to improve regulatory compliance and facilitate the enforcement of penalties against companies that flout laws and regulations.
The Ukrainian regulator, the Commission for the Regulation of Gambling and Lotteries (KRAIL), has proposed a set of proposals in the government's 2023 action plan. One of the key proposals is reforming laws about suspending and cancellation of licenses for gambling operators.
This proposal aims to enhance the regulatory framework surrounding the country's gambling industry and bolster the government's capacity to enforce penalties against operators who violate the law. In addition, the proposed reforms would streamline the process of suspending and canceling licenses and create a more efficient system for certifying and inspecting gaming equipment.
Including these proposals in the government's action plan is a positive development for the gaming industry in Ukraine. It indicates a commitment from the government to improve the regulatory environment and attract investment to the sector. However, as with any regulatory reform, there may be challenges in the implementation of the proposed changes.
Nonetheless, the gaming industry in Ukraine is showing signs of growth, and the government's proposed reforms could help further stimulate this growth. With the right regulatory framework in place, Ukraine has the potential to become a leading destination for gaming investment in the region.
On March 14, Ukraine's council of ministers approved the government action plan for 2023, consisting of over 500 priorities to systemize policy for the year. The plan includes a draft law to be presented to the legislative body that addresses the process of suspending operator licenses during martial law and prohibits the use of gambling brands owned by residents of aggressor states. Additionally, it proposes the creation of processes to suspend the licenses of gaming operators who offer games of chance in any Ukrainian territory occupied by hostile foreign powers.
The Ukrainian regulator has proposed a comprehensive draft law to enhance the state's capacity to regulate the gaming industry. This proposal seeks to improve the current procedures for suspending, renewing, and canceling licenses, establish a new framework for certifying and inspecting gaming equipment, and enhance the effectiveness of state supervision of the gaming market.
The proposed law includes measures to strengthen legal mechanisms that minimize problem gambling, increase state revenues, combat the illegal market, and improve the implementation of investment activity in the country's gaming market. If enacted, this law could lead to significant improvements in the country's gaming regulatory framework.
However, the ongoing invasion of Ukraine by the armed forces of the Russian Federation has complicated matters. Against this backdrop, the Ukrainian government has swiftly suspended operators' licenses conducting operations in Russia or Russian-occupied territory. Just this month, one of Ukraine's leading sports betting operators, Parimatch, fell victim to such sanctions.
The operator vigorously denied the charges against Parimatch, but the incident serves as a reminder of the challenges gaming operators face in the country. Nonetheless, the proposed state capacity improvements in gaming regulation offer a glimmer of hope for the industry. They could help Ukraine to establish itself as a more attractive destination for gaming investment.
