Azerbaijan considers legalizing casinos on artificial islands in the Caspian Sea

Azerbaijan’s parliament on Tuesday discussed draft legislation that would legalize casinos, but only on artificial land plots created in the Azerbaijani sector of the Caspian Sea, as part of broader efforts to attract investment and boost tourism.

The proposed amendments to the 2024 law “On the Creation of Artificial Land Plots in the Azerbaijani Sector of the Caspian Sea” would allow casinos to operate under strict regulatory oversight and only through licensed legal entities. License holders must comply with anti-money laundering and anti-terrorism financing laws.

Lawmakers argue the move would increase tax revenues, create jobs, and curb the country’s illegal gambling market, which authorities say remains active despite current bans.

“Limiting casinos to artificial islands ensures centralized control and regulatory oversight,” the draft says.

Currently, Azerbaijani citizens either travel abroad to gamble or use online platforms, many of which operate in legal gray zones. The bill includes age restrictions (21+), financial safeguards for payouts, and a system of state monitoring and legal accountability for casino operators.