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Uzbekistan toughens gambling violations ahead of Regime change

Uzbekistan toughens gambling violations ahead of Regime change

30 Jul, 2025

The government of Uzbekistan has applied new ‘gambling violations’ to the  Penal Code, in preparation for the launch of a new gambling regime on 9 October 2025.

The penalties have been drafted by the National Agency for Perspective Projects (NAPP) who since 2024 have led the coordination efforts to launch the new Uzbek Law on the “Organization and Conduct of Gambling, Lotteries, and Betting Activities“.

Reforms to the Penal Code are needed to prosecute penalties and sanctions against “resident organizers of illegal online games, lotteries, and betting activities, as well as to foreign legal entities that illegally offer such services to Uzbek citizens.”

New laws  introduce sweeping penalties on both domestic and foreign entities in which the government has authorised penalties to be matched to the Uzbek Base Calculation Unit (BRV). 

Foreign companies found to be offering gambling services to Uzbek citizens without a local licence will face headline fines of 25,000 BRV , equivalent to €753,000.

In the most extreme cases, new laws will allow authorities to confiscate income gained from illegal gambling, with businesses blocked from Uzbek banks, internet access and services offered by financial institutions. 

The same penalties will apply to any illegal establishment found operating physical casinos, betting shops, or mobile gambling terminals inside Uzbekistan. 

Businesses that breach anti-money laundering standards or misuse personal data will be fined 15,000 BRV, amounting to around €452,000, while accepting deposits or stakes for unlicensed games can lead to €301,000 in penalties.

Capital Guarantee on Licences 

Operators must meet stringent financial thresholds before even applying for a licence. Firms seeking to launch online sportsbooks or casinos will be required to hold a minimum authorised capital of UZS 56.25 billion, roughly €3.9 million, while lottery operators must show capitalisation of at least €1.4 million. 

A reserve fund  designed to guarantee payout capacity — will also be required: €1.75 million for gambling operators, and just over €945,000 for those in the lottery sector.

NAPP will oversee the launch of the new gambling regime, fulfilling the role of regulatory placeholder as the government will establish a centralised authority to govern gambling activities, licencing, transactions and conduct 

In its role, NAPP maintains the legislation and licensing will  represent “a pivot away from prohibition and toward regulated oversight, with zero tolerance for grey market actors.”

A Calculated Regime 

Since 2019, the liberalisation of Uzbekistan’s gambling market has been a subject of ongoing parliamentary debate. In 2024, President Shavkat Mirziyoyev took decisive action via direct intervention, formally authorising the launch of a regulated gambling regime.

The president tasked NAPP to lead the mandate  on the condition that revenues from the sector would be directed toward funding national programmes for sports infrastructure and athlete development.

A key project will see Uzbekistan’s regime built on a centralised system to monitor gambling transactions user accounts, bets and winnings will be recorded via the Unified State Register of Bets and Players (USRBP). 

The  government-run platform that allows the regulator to monitor financial flows in real time. The system will also enforce monthly wagering limits and store player identities, adding a layer of consumer protection uncommon in emerging markets.

Notably, the law empowers the Uzbek new gambling authority  to act as both regulator and enforcer. Sanctions will be determined by the agency’s director following an internal review by its Sanctions Commission. Offending businesses  will receive formal notice within three business days and will have 15 days to appeal to either the NAPP’s internal appellate council or to a civil court.

The government notes that 50% of all fines will flow directly into the National Budget, with the remaining half supporting NAPP’s operations. However, payment of fines does not exempt companies from further criminal or administrative consequences. 

“This is not a pay-to-play regime,” NAPP has stated to applicants “It’s a compliance-first market that will reward transparency and capital discipline.”

Gambling has long been banned in Uzbekistan outlawed outright in 2007 — with limited exceptions carved out for state-licensed lotteries. The 2025 reforms mark a strategic reversal, positioned less as a liberalisation and more as a state-controlled monetisation of behaviour that has persisted underground for years. 

In an official memo, the government justified the shift by pointing to the need to formalise economic activity, strengthen AML controls, and direct revenues to public coffers.

Licensing guidelines are expected in the coming weeks, with the first wave of applications to open before the October launch. As Central Asia’s most populous country embraces legal betting, its success will hinge on whether ambitious tech and regulatory projects can keep consumers safe from a unlicensed operators active in the market

 

 

 

Source

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