Montenegro enacts gambling law with approval-based licensing and compliance measures

Real-time digital monitoring, mandatory player identification, and video verification are at the center of Montenegro’s New Law on Games of Chance, which took effect August 1, 2025.

The legislation replaces the concession-based model with an approval-based licensing system and sets new compliance measures to oversee gambling transactions and operations.

Finance Minister Novica Vuković said the legislation is “the first such legislation in twenty years" and called it "a clear sign that the state has the strength and will to regulate this sector.”

The Ministry of Finance said the framework will provide “greater legal certainty, clearly defined obligations, and more precise control and oversight.”

Regulatory background

The reforms follow guidance from the European Council and international monitoring bodies for Montenegro to update its gambling framework to current standards, focusing on anti-money laundering (AML), consumer protection in online betting, and fiscal transparency.

Earlier measures in 2024 restricted access to foreign betting websites, limited online payments to cards or in-person transactions, and raised the fixed annual casino fee to €100,000 (US$116,311). Enforcement powers were expanded, and penalties for non-compliance were increased.

In March 2025, parliament approved advertising restrictions banning gambling ads on television and radio between 6 a.m. and 10 p.m., including during live sports. Misleading promotions, such as guaranteed winnings or “free money” offers, were also prohibited.

Social and public safety measures

The law introduces criminal penalties for underage betting and sets enhanced distance requirements for gambling venues near schools. Operators are required to contribute more to gambling addiction treatment programs and undergo regular audits by the Ministry of Finance.

“We are introducing strong protective measures for social values through a ban on underage betting, regulation of advertising, and restrictions on gambling locations near educational institutions, while directly addressing gambling addiction,” said Vuković.

Taxation and fiscal provisions

The legislation increases licensing and operational fees, which the government describes as moderate. Online gambling operators will pay a 10% tax on net gaming revenues. Winnings above €300 (US$348)  will be subject to a 15% personal income tax at the point of payout.

Montenegrobet, the national association of licensed operators, has criticized the law as a “proclamation on expulsion,” citing concerns about requirements related to criminal liability and license revocation. The group said such provisions could affect the stability of the regulated market.

Stasya Yautodzyeva, head of market insights at 4H Agency, told SBC that “by removing key legal protections and introducing regulatory burdens out of step with EU standards, the law may unintentionally drive players and companies into the unregulated sector.”

The Ministry said the legislation supports public interest and lawful industry operations. “The state extends a partnership hand — to jointly implement the law, strengthen trust, and build a sustainable, responsible, and transparent sector,” it said.