Albania confirms new licensing rules

Albania confirms new licensing rules

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Albania is set to license up to 10 online sports betting operators under Decision No. 194, marking the end of a comprehensive gambling ban in place since 2019.

The decision took effect on March 30th, with the Gambling Supervisory Authority (AMLF) completing the last of eight implementing regulations in July, clearing the way for a licensing competition.

However, only online sports betting will be allowed, while betting shops, slot halls and land-based casinos remain prohibited, with casinos limited to five-star hotels.

Applicants must be Albanian joint-stock companies with gambling experience in at least three EU or OECD markets. The framework requires a minimum annual turnover of ALL2bn (€20m) and a minimum share capital of ALL40m (€400,000). An application fee of ALL500,000 (c€5,100) is non-refundable, and the minimum license fee is ALL400m (€4m). Licenses will be valid for 10 years.

Operators are obligated to contribute 15% of GGR to a fund supporting culture, sport, technology and innovation, alongside 15% corporate income tax. The government anticipates this framework will generate about €20m annually.

The AMLF, in conjunction with a Licensing Commission, will rank applicants using a 100-point scoring system: 30 points for the economic offer, 30 for industry experience, 20 for organisational capacity, 15 for technology and five for the business plan. Applications are due 45 days post-publication of the competition notice.

Albania’s betting industry turned over about €700m in 2018 with around 4,000 betting shops. Parliament shut down the sector in 2019 due to concerns about gambling addiction, financial strain on low-income families, sports integrity and organised crime links.

Prime Minister Edi Rama says: “We are talking about taking this activity out of the black economy and bringing profits into the light.”

The new framework mandates transactions through Albanian banks or approved providers, prohibits cash wagering, and requires player registration with a National ID. Additionally, a national self-exclusion register will be implemented, allowing family members to request the exclusion of players.

While the AMLF has not announced a publication date for the competition notice, Hendri Hanaj of Hashtag Lawyers anticipates licenses being awarded within the next year or two, aligning with Albania’s EU accession goals around 2030.

The stringent entry requirements, including a €4m license fee and proof of activity in EU or OECD markets, limit the field to well-established international operators.