Russian Casino Industry Closes Down

The Russian government's decision to close down their land based gambling industry is expected to cause a surge in online casino traffic.

It’s definitely not the best time to put 400,000 Russian people out of work but the Russian government feels the country’s image and the responsibility they have to their citizens is more important. The government has now effectively closed approximately 500 gambling establishments throughout the country including some of the most glitzy casinos in Moscow to the smaller, run down sites offering just a few slot games. Even games that use to litter train stations, grocery stores and street kiosks have all been removed.

The Russian government and the majority of its citizens have agreed that gambling is more damaging to the country’s image. In fact, it was reported by a survey conducted by the Independent Profit Online Research Agency that 72% of Russians are in support of the law while only 19% are opposed to it.

Currently, the only establishments still open for business are lotteries, licensed poker clubs and bookmakers however Mayor of Moscow, Yury Luzhkov has said he will be working towards having these forms of gambling outlawed as well.

But what about the potential tax revenues the country will now be losing, estimated to be around $1 billion? Alexander Krutov, a Moscow Duma deputy said that they’ll actually be saving money after the decline in gambling addiction support that was necessary. He also added that those employees previously working at casino establishments will be able to find work because they are young, have good manners and can speak English.

So while gambling in Russia no longer really exists many citizens will now be fleeing too underground establishments or to online casino providers while they wait for four new gambling zones to be built, a proposal initiated by the Russian government. The zones are in remote areas of the country (one is near the border with North Korea while another is in the Altai Republic in Siberia) and are yet to be developed however the government is hoping these zones will become tourist attractions much like the strip in Las Vegas.