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Insight


LATVIA Latvijas Spēlu Biznesa Asociācija


Arnis Verzēmnieks, President Latvijas Spēlu Biznesa Asociācija


The LSBA represents several gaming companies to promote the overall development of the Latvian gaming business and responsible gambling. www.lsba.lv lsba@lsba.lv


At the Latvian Gaming Business Association, we wish to continue our work to promote responsible gambling. Gambling is an integral part of the entertainment industry. Given the high risk of gambling, one must be aware that gambling entertainment venues are spending money. Keeping a safe game in practice requires keeping in mind the basic principles of respecting personal time and money limits.


The development of a proportionate industry was overshadowed by many political intrigues and the use of the industry for self- promotion by political forces. I think we are not the only industry that cannot be seen as a constructive interlocutor for the new government and which has experienced a contrast between pre- election pledges and action.


Political points scoring harms the fabric of gaming in Latvia


Te shifting gaming landscape in Latvia has presented a series of challenges to operators in the country. G3 speaks to Arnis Verzēmnieks, President of Latvijas Spēlu Biznesa Asociācija (Latvian Gaming Business Association), about the impact the increased taxes have had on the business and the decision by municipalities, such as Riga, to eliminate all gaming halls in its territory


How does the gaming industry measure its performance this year?


Tis year saw the launch of the Gaming Machines Control and Monitoring System (AKUS), which has been invested and implemented by companies in the industry for several million euros. After the introduction of AKUS, each machine is integrated into a single system so that all operations are transparent


Te gaming industry has invested a lot of resources this year in providing a self-exclusion registry that has been operational since the new year. Te registry will protect problem gamblers who, by listing themselves, will prevent gambling venues from accessing both the internet and landbased games. We hope this will work and eliminate the problem of over-enthusiastic gamblers and hence the precedents associated with them. Tinking about responsible gambling, we have created an educational platform called 'Safe Game', where we encourage the public, through a test and manual, to be aware of the risks of gambling and to avoid them if they become a problem.


What were the successes and failures of this year?


Admittedly, 2019 has been a year of great challenges and unpleasant surprises for the industry. Planning for the 2020 budget, contrary to the government's view that there would be no tax increase on the budget, a decision was made to raise gambling taxes. It was also decided that local governments will significantly reduce their gambling tax revenue and


P108 NEWSWIRE / INTERACTIVE / MARKET DATA


will receive only five per cent next year instead of the previous 25 per cent. In addition, on December 5, the Saeima, in its second reading, endorsed the call to allow local governments to determine in their binding regulations in which territories gambling is not allowed. Te consequences of such a decision have not been assessed and, in the view of the industry, will pose significant risks for the spread of illegal gambling sites. Decisions taken in a hurry without involving the industry in the discussions undermine confidence in the country's democratic processes.


Te development of a proportionate industry was overshadowed by many political intrigues and the use of the industry for self-promotion by political forces. I think we are not the only industry that cannot be seen as a constructive interlocutor for the new government and which has experienced a contrast between pre-election pledges and action.


What are the goals and forecasts for this year?


At the Latvian Gaming Business Association, we wish to continue our work to promote responsible gambling. Gambling is an integral part of the entertainment industry. Given the high risk of gambling, one must be aware that gambling entertainment venues are spending money. Keeping a safe game in practice requires keeping in mind the basic principles of respecting personal time and money limits.


One of the first goals of the new year was to successfully introduce a register for self exclusion.


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