Germany is currently subject to the laws imposed by the German Interstate Treaty. The treaty, which was introduced into the country only in 2008, quickly decided to ban all forms of offline and internet casino gambling nationwide, allowing only the horse racing industry to continue operating.

The German Interstate Treaty has been under attack from the European Betting and Gambling Association (EBGA) since its inception. One of the main reasons behind the EGBA’s attack on them is that by operating individually in Germany without competition, it is in actual fact operating like a monopoly, and this breaches European Union (EU) laws. In addition, it restricts other EU members from providing online casino gambling services to German citizens – otherwise known as a breach of Article 49.
It appears as though the Treaty and its laws could finally be challenged, following recent news from a coalition meeting in the Schleswig-Holsteing state. There, the Liberal Party (FDP) and the Christian Democratic Party (CDU) together issued a statement demanding the break-up of the Treaty and the introduction of a regulated online and offline gambling environment.

Many have decided to view this statement as the first move towards an entire abolition of the Treaty and bringing into action of a regulated gambling industry. This is only enforced by the fact that the Treaty will lapse if not all 16 states agree to it by January 2012. All German players should be alert over the coming months, as should those who intend on eventually penetrating the market there.