CEE operators at SBC Summit warn of regulatory risk, high entry barriers and 'another Brazil' fears

Executives from four of Central and Eastern Europe's largest gambling businesses used a panel at SBC Summit to caution newcomers about the region. The speakers were Irakli Asanishvili, CEO of Flutter CEE; Bojan Scekic, CEO of Balkan Bet; Mikolaj Cymerman, Chief Commercial Officer of Entain CEE; and Ionut-Valeriu Andrei, CEO of Loteria Romana. They said the industry remains wary of a repeat of the Brazil situation, where regulation has become a source of major uncertainty.

Asanishvili said there are exciting opportunities across the region but declined to name specific markets, adding that operators must consider each market's regulatory future. Panellists pointed to examples of heavy regulation. In Czechia, the Prague city council can apply its own gambling rules and allow districts to ban or restrict live gambling. In Slovakia, a high government-approved flat levy per device and a 27% gross gaming revenue tax have caused disputes and may deter entrants. The panel argued that such conditions also push players toward unlicensed operators, with channelisation still weak in several regulated markets.

Another obstacle is the dominance of local incumbents, many of which are moving from a long-established retail model to online. Challenger brands, the panel said, should expect significant spending to enter and stabilise. Cymerman said the barrier for any newcomer is very hard and that it is difficult for one brand to capitalise on every market in the region. He saw some potential in Poland, which operates a monopoly system but issues private betting licences, suggesting there could be political will in future to move to an open market as the Netherlands, Sweden and Finland have done.

Hungary was also discussed, as the country faces industry changes after Viktor Orban's 16 years as Prime Minister. After the panel, Parliament voted to limit the concession powers of the Supervisory Authority for Regulated Activities (SZTFH) and to dissolve its Concessions Council. What institutional structure will replace the current setup remains unclear, but opportunities may follow. Scekic said any CEE operator answering no to interest in Hungary was not being honest.

The retail versus online question also featured. Andrei said Romania now sells over 50% of lottery tickets online, up from 15% three years earlier, while retail stays important because many Romanians still use cash. He said omnichannel is the future. Asanishvili disagreed, arguing that customers favour convenience and that a business with brand, trust and varied payment channels can succeed without a major retail presence.