Sport Financing Through the Gambling Revenues in Montenegro – Sport Mont
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Suncica Rogic1, Milena Radonjic1, Vladimir Djurisic1

1University of Montenegro, Faculty of Economics, Podgorica, Montenegro

Sport Financing Through the Gambling Revenues in Montenegro

Sport Mont 2018, 16(2), 87-91 | DOI: 10.26773/smj.180616

Abstract

Sport financing is of great national importance, having in mind that it’s recognized as an activity of public interest by the Law. Since most of sport organizations in Montenegro are publicly owned, they are dependent on public financing, which are often scarce and insufficient for fulfilling sport’s function in society. Therefore, new sources of financing must be introduced. One of the most common funding systems in Europe includes resources redirected from gambling industry profits – taxed by the government. Even though the idea isn’t exactly new, it’s implemented differently in various countries. This paper analyzes current Montenegrin system of sport financing from this source, compares it to other European countries and provides recommendations for its’ improvement. Taking into account that most gambling revenues come from sport betting, it would be beneficial for the society that most of these incomes find their way back to sport. The research results for Montenegro show considerable lagging behind other European countries in terms of sport funding from taxed gambling profits. With the share of only 14% of funds allocated to sport from this source there is a plenty of room for Montenegro to improve its sport financing system, which would lead to faster sport development. This share is considerably low, compared to neighboring EU countries such as Croatia’s 35% and Slovenia’s 80%. With certain improvements and taking into account other countries good practice examples, Montenegrin sport financing system can be considerably improved.

Keywords

sport financing, gambling revenues, sport development



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