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Gambling and online casinos in Kyrgyzstan
Kyrgyzstan has gone from a complete ban on gambling to partial legalization and state control.
After 10 years of severe restrictions, the country reopened the doors for casinos and online gambling, but with the important condition that only foreigners are allowed to play.
This model reflects the experience of neighboring Kazakhstan and is aimed at attracting investment and tourists with minimal social risks.
Historical context
Since 2012, Kyrgyzstan has had a complete ban on gambling.
All casinos, slot machines and bookmakers were closed.
The reason was public protests, religious pressure and fears of an increase in gambling addiction.
However, a decade later, the authorities revised their approach: the economy needed new sources of income, and neighboring countries successfully made money on gambling.
In 2022, the Law "On the Organization and Conduct of Gambling" was adopted, which again allowed casinos and online gambling - but exclusively for foreigners.
Legislative framework
Main documents:1. Law of the Kyrgyz Republic No. 63 "On the organization and conduct of gambling" (2022) - regulates the activities of casinos and online gambling.
2. Government Decree No. 248 (2023) - defines the procedure for licensing and taxation.
3. The Criminal Code (ed. 2023) - introduces liability for the participation of citizens of Kyrgyzstan in gambling.
4. Tax Code (Art. 320-326) - sets rates for gambling.
Key points:- gambling is only allowed for foreign nationals;
- citizens and residents of Kyrgyzstan are prohibited from participating in any form of gambling;
- licenses are issued by the Ministry of Economy and Commerce;
- all settlements must go through the state payment system;
- online gambling is regulated as a separate type of business (eGaming License).
Forms of legalized gambling
According to the law, the country allows:- land-based casinos in hotels and tourist areas;
- bookmakers for foreign clients;
- state-licensed lotteries and sweepstakes;
- online casinos and betting platforms under a national license.
Peculiarity - all playgrounds should be located outside large cities (for example, in the Issyk-Kul region) in order to minimize the access of citizens of the country.
Online gambling
Online gambling is officially allowed under the eGaming license, but is strictly limited in access.
Main principles:- registration of operators - only in Kyrgyzstan;
- servers and payment gateways - in the country;
- players undergo KYC and geolocation checks to eliminate citizen access;
- taxation - 10% of gross profit (GGR);
- cryptocurrency settlements are allowed, but only for non-residents.
In 2024, the first 6 licenses for online gambling were issued to foreign companies from Turkey and Kazakhstan.
Operators focus on customers from Europe, India and Arab countries.
Economic effect
After legalization, the market began to develop actively.
According to the Ministry of Economy (2024):- 12 casinos and 8 online operators are registered in the country;
- total investments exceeded $50 million;
- annual tax revenues - about 700 million soms (~ $8 million);
- more than 2,000 jobs have been created.
The authorities see gambling as a new export sector that brings currency and stimulates tourism.
Taxation
Fighting the illegal sector
The government is actively fighting illegal sites and underground halls.
Measures include:- blocking domains without a license;
- fines up to 500,000 soms;
- criminal liability for organizers;
- financial monitoring through the State Service for Combating Economic Crimes.
In 2023-2024, more than 60 illegal gambling outlets were closed and 200 + sites were blocked.
Social and religious aspect
Kyrgyzstan is a Muslim country, and a significant part of society has a negative attitude towards gambling.
However, the authorities emphasize that legalization is aimed not at citizens, but at foreigners, and that casino revenues are directed to social programs and tourism infrastructure.
"We don't allow gambling for Kyrgyzstanis - we allow investors to earn and attract currency."
Thus, the authorities are trying to balance religious principles and economic interests.
Control and licensing
The regulation of the gambling sphere is carried out by:- Ministry of Economy and Commerce of the Kyrgyz Republic - licenses and control;
- State financial monitoring - tracking transactions;
- National Security Service (GKNB) - prevention of illegal activities;
- State Committee for Tourism - development of resort areas with casinos.
Operators are required to audit, publish reports and provide Responsible Gaming.
Prospects
Kyrgyzstan plans to develop the gambling sector as part of a national tourism strategy until 2035.
In the coming years, the following are expected:1. Creation of the "Issyk-Kul gambling zone" with casino complexes and hotels.
2. Development of online gambling under the eGaming Kyrgyzstan brand.
3. Introduction of a single payment platform to control financial flows.
4. Attracting foreign operators through tax incentives.
According to forecasts, by 2030 the gambling market can bring the budget up to $100 million per year.
Kyrgyzstan has opted for a "controlled gambling" model - allowing casinos and online gambling only for foreigners, but retaining a domestic ban.
This is a compromise between morality and economics, between Islamic traditions and investment pragmatism.
able to become a new source of foreign exchange earnings and tourism growth.
Excitement is not here for everyone - but for those who play by the rules.
