Bulgaria partners with UK testing firm eCOGRA
London-based firm selected to help process amid an expected increase in Bulgarian licence applications from foreign operators following GGR tax switch
Player protection agency eCOGRA has been given clearance by the Bulgarian regulator to test the software and information systems of egaming operators seeking to enter the recently revamped market.
The London-based company, which received accreditation from the Bulgarian State Gambling Commission (SGC) earlier this week, said the decision to apply was based on increased interest from foreign operators following changes to the Bulgarian Gambling Act.
In December the country’s lawmakers passed a series of amendments to the Act including a switch from its 15% tax on stakes with a one-off licensing fee of 50,000 and a 20% tax on gross gaming revenue (GGR) effective from 1 January.
“Our application followed interest expressed by some of the industry’s leading software suppliers and operators who are clients of eCOGRA and are now expressing interest in obtaining a Bulgarian licence,” Tax Rees, a director of eCOGRA, said.
“This followed the change by the Bulgarian government to a tax based on gross gaming revenue, and strict but more practical technical and other operating requirements,” he added.
Betfair looks set to be one of the first major foreign operators to enter the Bulgarian online gambling market following the change to the tax regime.
A spokesperson for the operator informed eGaming Review last month it had submitted applications for both a sports betting and exchange licence while a number of other operators have also expressed a renewed interest in the country.