Botswana gaming industry

Botswana is a landlocked country in southern Africa with a landscape defined by the Kalahari Desert and Okavango Delta with a small population of 2.3 million, the country was annexed by Great Britain in 1885 and remained a colony until 1966. On the 30th of September of that year, the first general elections took place and marked the establishment of the Republic of Botswana. The country’s gaming industry is famously known for its brick-and-mortar casinos. Most of them are housed by hotels or resorts making them a popular destination for both locals and tourists.

Casinos

Most casinos open for 24 hours while others open for limited hours. Common casino games just like in most casinos worldwide are blackjack, bingo, Baccarat, Roulette, poker, and slot machines. Plus, almost every casino in Botswana offers live poker games. Casinos in Botswana are majorly clustered in two popular towns–Gaborone and Francistown. Gaborone Sun Hotel and Casino is the largest casino found in Botswana. It is located within the Grand Palm Hotel Casino Convection resort with its doors open 24/7.

The Sediment and CrestaThapama Hotel is a renowned casino located in Francistown. The casino is open for a limited time—11 am to 2 am. Other licensed physical-based casinos include Syringa Casino, King’s CasinoMarang Hotel and Casino, Moonlite Casino, Menateng Casino, Sedibeng Casino, and Letsatsi Casino. Sun International Group ran most of these casinos.

Regulation

The industry is regulated by the Gambling Authority which exists as an entity under the Ministry of Investment, Trade, and Industry (MITI). According to the Gambling Authority of Botswana, the industry will have a strong external focus with a market that is largely outside Botswana’s borders by the year 2036. The authority affirms that this will be realized through an economy that is diversified, competitive, and private-sector-led, with sustainable business opportunities. This intent is further supported by the National Development Plan 11 which aligns with the national vision and commits to developing diversified sources of economic growth as one of the priority areas in the long term. Vision 2036 aims to transform Botswana from an upper-middle-income country to a high-income country within the next 15 years. This Vision identifies the following four key Pillars as the foundation of the principles it espouses: Sustainable Economic Development, Human and Social Development, Sustainable Environment, and Governance, Peace, and Security.

The Ministry of Investment, Trade, and Industry contributes to the Vision 2036 pillar ‘Prosperity for All’ and the NDP 11 ‘Economy and Employment’ thematic area. Therefore the Ministry drives policy formulation and strategies that seek to diversify the national economy through the creation of a conducive business environment, and diversified industries in addition to creating sustainable employment for Batswana by facilitating domestic and foreign direct investments. The Ministry also promotes the development of an entrepreneurial culture. These priority areas seek to address key national challenges such as poverty, unemployment, income inequality, and slow economic growth. Given the fact that the Authority is a regulator, its role in this transformation agenda is effectively facilitating the growth of the gaming industry. A position that was endorsed by both the NSO and the MITI.

Sports betting opportunity

As mentioned earlier the industry is occupied mainly by brick-and-mortar casinos with a few betting companies and the majority of international online sportsbooks that avail their offerings to this country meaning regardless of their population being small it’s a sweet heaven for small sportsbooks that would like to expand into Africa as a starting nest. Less investment reasonable business opportunity

By Najib Balinda attributed to the Gambling Authority of Botswana

 

 

The Rise of Virtual Sports in Africa

The African gambling industry has changed substantially over the last two years which notably arose due to the unprecedented outbreak of covid-19 that led to the growth of virtual sports far beyond what we all imagined since there was a time when all sports leagues were shutdown leaving sportsbook providers with no sports games playing to generate odds feeds from for their clients thus forcing punters to resort to only virtual sports and Esports.

The events in virtual sports are usually shorter than live sports events, lasting 3 – 5 minutes, and are depicted with extremely realistic graphics of the games made/created from real major sports leagues or races. Aside from realistic graphics and probabilities, realistic outcomes are possible in virtual sports events same as most betting markets in real Prematch and live sports betting.

 Thanks to technological advancements, an increase in both internet and mobile phone penetration, and a burgeoning population with a passion for sports, notably football. African bettors are growing aficionados of virtual sports in addition to regular sports betting across all popular betting sites and also in retail networks.

Why are virtual Sports Popular among African punters?

Virtual sports are appealing to football fans who wish to place larger numbers of modest wagers. This occurs to almost precisely coincides with modern African bettors. When you consider the age of the players and their fondness for technology, it’s easy to see why virtuals are so popular.

African demographics are characterized by youth. According to UN-Habitat figures, roughly 420 million people, or 35% of the continent’s population, are between the ages of 15 and 35. Sports bettors are typically younger over the world, and much more so in Africa. As many as 54% of sub-Saharan Africans aged 17 to 35 had at least tried betting Mobile betting is popular among African gamblers. According to GeoPoll, 75% of bettors use their mobile phones to place their wagers. As mobile adoption rises across the continent, sports bettors in some nations are more likely to have a mobile phone than a laptop

Virtual sports may be the first sports betting encounter for younger generations who have grown up in a world of high-definition graphics and video games. Betting on virtual sports can be utilized as a learning tool for people who are unfamiliar with the puzzling odds concept. Virtuals offer a larger frequency of betting possibilities, allowing punters to become familiar with the odds systems.

Virtuals provide skilled gamblers with the endless betting alternatives they’ve always wanted. Virtual sports bettors usually stop watching the event after a few weeks; the long-term attraction is the excitement of staking and winning money instantly after a few minutes. Playing the odds and putting their gut sense to the test is something many punters enjoy almost as much as the sport itself

In Africa, the great majority of sports bettors wager frequently but in small amounts. In Kenya/Uganda, for example, the majority of gamblers wager at least thrice a week, if not every day. According to a three-year-old IPSOS survey, the typical Kenyan resident aged between 18 and 29 spends $14 every month on betting. Virtual sports betting is well-suited to the low-volume, high-frequency betting habit. There’s also the issue of legal standing to consider. Games of skill, for example, are legal in Nigeria, but games of chance are banned. Because evaluating the odds before placing a wager requires ability, Nigerian punters can legally bet on virtual sports at any time

Finally, virtual sports appeal to the lifestyle and mindset of young, punters, which is why they are gaining popularity in Africa and worldwide. There’s never a shortage of events to wager on with 24/7 availability, thousands of events every day, plus the fact that virtual sports have no off-season

What are the forecasts for the future?

Any recipe for success must regard each country as an individual. Providers can also adapt their products to the market using virtuals. Football is a no-brainer, but the mix of other products, such as greyhound, horse racing, and Spin & Win (Virtual Roulette) will be determined by regional preferences

Virtual betting’s high-frequency, short-duration choice corresponds to most punters’ fast-paced lifestyles. It’s no surprise that operators consider Africa a strong market for virtual sports betting, given technology advancements, increased sports betting revenues, and a young and growing population In fact, gambling experts believe that virtual sports will outperform regular sports betting in terms of income. The moderating effects of virtual sports on the sports wagering business on the internet can be compared to the impact of streaming technology on the entertainment sector. With so much entertainment available at their fingertips, going to the movies for a new film has become more of a chore than an experience. Similarly, with virtual sports events available at all times, young African bettors may consider waiting for a live match to be a waste of time

When assessing the possibilities for virtual sports betting (or any other product) in Africa, it’s critical to avoid making assumptions about how development will proceed in other parts of the world. Understanding the future of the African betting market will rely on a thorough examination of its existing situation, rather than attempting to duplicate the growth of markets in Europe or Asia

African markets are expected to develop at their own speed, according to investors. The first thing that comes to mind is communication. Mobile adoption is surging across the continent, with Kenya surpassing 100% and other countries approaching comparable levels. While the Western world adapted to traditional telephones before moving on to the next stage of the technological revolution, the landline was rendered obsolete for many Africans even before it was deployed

The rising popularity of Online casinos in Africa

Although Africa does not have a uniform set of gaming laws that govern the entire continent, online gambling is experiencing an incredible rise, and at the moment, the focus is on mobile. More and more gamblers are using their smartphones for wagering, and thanks to that, the online casino industry is expected to surpass traditional land-based gambling in revenue.

The Growth of Online Gambling In Africa

The growth of online gambling in Africa is mostly backed by the increased availability of smartphones on the continent and the increase in internet penetration which blew out during over 24 months of lockdown across most African countries that came as a result of covid-19 outbreak. By the end of 2020, there were close to 495 million smartphone owners, which is almost half of the population. Moreover, the rise continued during the pandemic, as the third quarter of 2021 faced the arrival of 26 million smartphones to the African continent.

The increased smartphone ownership boosted the growth of online casino gaming, especially in countries like South Africa where the mobile device penetration is expected to reach 67% by 2026, the region is also experiencing more stable internet connections than ever, especially in countries like Nigeria, Kenya, Uganda, Tanzania, Morocco, Ethiopia, and Egypt where the coverage is booming. For example, in 2020, there were 154 million internet users in Nigeria only, and the number continues to rise.

 

What’s making online casino games so Popular?

Online casino games are getting more attention from African players than ever, mainly because the majority were forced to bet online for over 24 months as all retail operations in most markets were shut down to reduce the spread of covid-19 paving the way for online casino games and also tremendously increased both internet and mobile phone penetration.

Convenience Using a mobile app for online gambling allows the players to enjoy their favorite time on the go, any time they want, which is totally different from retail/land-based gaming where a player would have to dedicate time to go and visit a physical venue. Moreover, going to a land-based establishment sometimes also means waiting in lines to get a seat at a particular table or a slot machine, which is not the case with gaming on mobile phones. Digital gambling has no limits when it comes to the number of seats and the availability of games. As long as players have a proper mobile device and a stable internet connection, they can have fun whenever they wish. Also, internet gambling adds more privacy and a greater feeling of security to the whole experience, since players don’t have to be surrounded by fellow punters as they play.

Attractive Bonuses

Mobile gamers enjoy the incredible offerings of bonus rewards and promotions. From the moment a punter opens up an account, they continuously receive different prizes, and some of them do not even require real money deposits. All the top casino sites continue racing to attract new users and keep the existing ones with promotions like deposit bonuses, free spins, cash rewards, and many others. Some platforms also developed VIP programs where the members are treated with premium rewards that cannot be claimed by regular users. However, each operator has its own set of rules that control the use of bonuses, and before punters claim any of the rewards, they must follow all key terms and conditions.

Variety of Games

Players who stick to land-based establishments are always limited to the selection of games available on the floor, which may not be an issue for gamblers who can access a large list of online casino games from various providers, from classics like pokers, roulettes, slots, and blackjack, to more advanced options like video poker and live dealer sessions, everything at fingertips.

The future of mobile gaming in Africa definitely looks bright, and the continent is likely to continue pursuing its passion for gambling through smartphones and other devices. As technological advancements continue to boost mobile penetration on the continent, even more Africans will be able to enjoy the convenience and all the amazing benefits of internet gambling.

Conclusion: Africa is the future hub of online casinos

 

 

Must haves before launching an online sportsbook in Africa

Products

No doubt sports betting is the key leader across most key markets in Africa however it’s important to keep in mind that online casino games are taking rocket sky growth too. Just like it is in the most advanced markets like the UK and the rest of Europe football is the most popular sport that bettors place bets on even though operators should look out for other sports coverage as these vary per market. E.g., in South Africa Horse racing, Tennis, and Cricket follow football whereas for most of the rest of the markets in Africa Tennis, Basketball and cricket take a secondary lead after football so these will definitely define turnover if coverage of sports offered in balance per market preference.

Virtual sports are very popular in markets that are mainly retail based whereas this is different in highly online faceted markets as online casino games have become secondary favorites after football even though for some markets virtual sports have proved to be a must-have product.

As mentioned earlier Online casino games are becoming very popular even though it’s important to note which providers one must have as their top inclusions on their platforms. The majority of sportsbooks have online casino games but their turnovers are still lagging behind because they haven’t taken into account which providers are favorites per specific markets. As experts in the region we are at your service to assist you make the best offering based on the market one may plan to establish their operations or are based.

Localization

Localization is key to commercial growth therefore is one of the key aspects operators must focus on as copy and paste will definitely cripple chances of succeeding in the region. When it comes to localization this entails product offering, services, operations, and modes of marketing & advertisement. Extensive research which would include all aspects of operations setup is very necessary I.e., from development strategies, marketing & advertisement, CRM systems and other tools that will best serve specific markets and then implement them is the best approach prior to investing heavily in marketing and advertisement that will yield very minimal results. Of course, constant analysis, development, and improvement are an essential part of the game too.

Lastly, localization player experience is also among the top priorities, which would allow the operator to create the most user-friendly journeys for each market.

Staff

The human factor is a very key factor of the equation too, operators should focus most on local professionals – employees/consultants who have experience and understand the best skills, and technical know-how when it comes to the implementation of most aspects of day-to-day operations.

Automation

In order to be fast and agile and to move with the pulse of the business, operators must invest heavily in the automation of processes. Every big idea should be automated immediately, and every human decision documented in a way that makes operating easy even for people who have never run a betting site together with local experience and know-how this combination will definitely be a great factor in driving success.

Payment methods

Mobile money is the most popular payment method across most key markets in Africa so this is a must-have and then other payment methods can be availed to as some advanced markets like South Africa have already advanced to top-level methods like those in the UK and the rest of Europe. While Mobile money is the most popular method of payment these differ based on specific markets e.g. Safaricom (Mpesa), Airtel & MTN are the leaders in most markets followed by other telecom providers like Vodafone, Glo, etc.

Compliance Expertise

Legal issues can greatly jeopardize the growth of the gambling business in some parts of Africa. The continent doesn’t have a long history in online gambling and while local authorities are figuring out the best frameworks to legalize betting, operators should be extremely adaptive as the legal frameworks are vastly different per market.

With very extensive experience across different markets in Africa having carried out marketing & advertisement campaigns for many tier-one African-based sportsbooks we are at your service to assist your operations get the desired market shares.

By Najib Balinda

Popular igaming payment method in Africa – MOBILE MONEY

Overview

Mobile Money is an electronic wallet service that allows you to store, send and receive money using your mobile phone. The key requirement is to have a telecommunication provider Simcard, for Africa main providers are MTN Group, Airtel, Safaricom, and Vodafone.

As Mobile numbers are a key requirement to opening an igaming account for punters to place bets/ play online casinos this paved way for integrations to be made into gaming and betting online platforms where punters can easily deposit money into their accounts with a few clicks from the mobile phones and also be able to withdraw their winnings straight to their mobile wallets.

Our Blog will highlight the role of mobile money services in the practice of gambling in general in Africa and another key must-know about the payment service (Mobile Money).

Mobile money is one of the best things to happen to Africa – For a continent where the habit of banking is growing but not at a pace that catalyzes fast development, mobile money revolutionized the handling of money for paying for products & services and embracing many industries including the gaming & betting industry too across all gaming markets in Africa.

 Before Mobile money, it was simply the physical betting outlets and online banking cards that didn’t really sit well with the majority of the clientele base that betting in Africa targeted. After its introduction, the industry couldn’t be rivaled by the amount of money that was moving through its systems on a daily basis. What spurred the phenomenon, even more, was the rapid growth of both mobile and internet penetration across many countries. The spread of Chinese-made cheap smartphones also ensured that everything was accomplished with simply a few clicks which paved largely the growth of online sports betting & gaming.

General Highlights

  • Sub-Saharan Africa is home to more mobile money users than any other region in the world, with over 200 million active mobile money users by the end of 2021. This represents around half of the global total active accounts.
  • Value of Mobile money transactions in Sub-Saharan Africa – 697.7bn USD
  • Registered Mobile money accounts in East Africa as of 2021 – 296M
  • Value of mobile money transactions in East Africa – 403.bn USD
  • Leading service providers: MTN mobile money subscribers as of Sept 2021- 51.1M  and Mpesa (Safaricom) subscribers as of 2022 – 52M

Mobile money is undergoing rapid growth in Africa, driven by improved access to technology, difficulties accessing traditional financial services, and an increase in contactless payments related to the coronavirus (COVID-19) pandemic.

For those with no access to banking services, mobile money provides financial inclusion, a way to participate in the economy without a bank account. This has led to a boom in the use of mobile money in Africa, one of the most underbanked regions in the world. In 2019, 200 million users made 24.46 billion mobile money transactions in Sub-Saharan Africa and the Middle East, and Northern Africa, accounting for 64.15 of all transactions made worldwide. Of the 690.1 billion U.S. dollars in mobile money transactions made in 2019, 456.3 billion U.S. dollars were exchanged in Sub-Saharan Africa.

Mobile money has become a big business for telecommunication providers in Africa. Approximately 144 mobile money providers operate in Sub-Saharan Africa, with two companies such as M-Pesa, MTN, and Orange Money accounting for a significant share of the market.

M-Pesa, managed by Vodafone and Safaricom and operating in seven countries, has seen significant growth in recent years. The service attracted an additional 12 million users from 2017 to 2020, reaching 41.5 million users by 2020. M-Pesa users made 12.2 billion transactions in 2020, generating 784.36 million U.S. dollars in revenue for parent company Safaricom. MoMo – MTN Group’s mobile money offering – has enjoyed similar growth – reaching 35.1 million active customers in March 2020.

The effect of under banking on the use of mobile money can be seen in Southern Africa, where banking services are easier to access. Mobile money has gained less of a foothold in that region, suggesting that unless another solution to financial exclusion in parts of Africa is discovered, the use of mobile money in Africa is set to grow even better in the future.

Mobile money accounts in Africa by region 2021 (in millions)

CharacteristicRegistered accountsActive accounts
East Africa296102
West Africa23758
Central Africa6019
Southern Africa134
North Africa151

Conclusion:  Mobile Money is a must-have payment gateway for any gaming or sports betting operator wishing to expand its operations into Africa

By Najib Balinda attributed to Statista.

Ghana a rising star igaming market in Africa

Ghana is a country in West Africa, it abuts the Gulf of Guinea and the Atlantic Ocean to the south, sharing borders with Ivory Coast in the west, Burkina Faso in the north, and Togo in the East. With spanning diverse biomes that range from coastal savannas to tropical rainforests, Ghana is the second-most populous country in West Africa, after Nigeria with a population of over 32 million.

While it may not be the biggest nation in Africa, the country is definitely flexing its muscles in the online gambling world. Not only is Ghana considered amongst the top gambling markets on the continent, but the West African nation has also been getting plenty of love from international observers. The top order of online betting in sub-Saharan Africa is pretty much set, with South Africa, Nigeria, and Kenya leading the way, but Ghana has arguably become the best of the rest and is knocking furiously at the doors of the bigger boys.

By comparison, South African and Kenyan population figures are hovering around the 60 million mark, while Nigeria towers above everyone else with its 200 million plus people.

The Big 3 may hold the bragging rights for now, in terms of positions, but Ghana is constantly chipping away. Ghana sent a strong message of intent in November 2022, when it managed to lure global giant, bet365 into the country. Bet365 is the biggest betting site in the world. They are present in many nations and continents, across Europe and the Americas, but their entry into Ghana was their first official foray into Africa.

“It was our preferred location for our first launch into Africa, as one of the most highly regulated, and highly regarded betting markets on the continent”, a bet365 official said in a glowing endorsement of Ghana’s gambling industry.

The Gaming Commission of Ghana an Agency under the Ministry of the Interior that’s in charge of regulating and controlling the industry has endured plenty of criticism during its nearly two decades of existence, but this is surely a major feather in its cap.

Bet365 follows in the footsteps of many top betting players to launch in Ghana, with Betway, 1xBet, 22Bet, Bet-king, Betika, Mozzartbet, Odibets, and more all registered and licensed in the country. As pointed out in the bet365 statement, Ghana’s regulated gambling space has been a major attraction for these big betting players, but that is not the only thing that has been pulling them into the country. Ghana has a strong sporting tradition. It is one of the top football nations in Africa, with multiple AFCON successes and appearances at the World Cup. This sets a natural foundation for sports betting.

Over the last few years, that foundation has been built upon to become the big structure it is today. The rate of sports betting has been boosted by several factors. Technology has played a major role, with mobile penetration and internet accessibility constantly on the rise.

Perhaps, the most important catalyst has been the advent of mobile money, which has significantly improved financial inclusion in Ghana, making it super easy for Ghanaians in all spheres of life to pay for goods and services over their mobile phones. Ghana is a mobile money force not only in Africa but also in the world. All of these have combined to make Ghana a truly attractive prospect for the biggest bookmakers in the world.

Let us know if you are interested in a full market report about Ghana, Our reports will give you highlights about;

  • Market Overview – Estimated market size, main players, their estimated market shares, models of operations, and products
  • Regulatory frameworks
  • License requirements and costs
  • Barriers to entry
  • Double trade agreements (DTAs)
  • Taxation framework
  • Repatriation of funds policy
  • Advertisement and Marketing regulations etc.

Additionally, let us know in the comment section which country in Africa you would love to learn about next.

 

Ugandan government plans to increase gaming tax by 10%

The Ministry of Finance proposed a 10 percent increase in gaming and lotteries tax. The proposals are contained in the Lotteries and Gaming (Amendment) Bill, 2023 which seeks to amend a number of provisions under the Lotteries and Gaming Act, 2016.

The amendments, signed by Finance Minister Matia Kasaija seek to increase the tax rate on gaming activities from 20 percent to 30 percent.

Key reasons that were given;

  • Ugandan bettors lose millions to illegal gaming sites
  • Gaming operators under-declare revenue by half-audit

The Bill if passed, will have a significant impact on the gaming industry but is expected to generate more revenue. It is expected to take effect on July 1.

The gaming industry in Uganda has expanded rapidly in recent years, owing in part to the growing popularity of sports betting and online gambling.

According to the Uganda Revenue Authority (URA) annual revenue performance report for the 2021/22 financial year, there was a surplus in tax collected from casinos, which resulted in a significant increase in revenue attributed to gaming tax arrears recovery amounting to Shs35.65b.

This growth resulted in a surplus of Shs22.67b and was caused by compliance enforcement actions that made taxpayers file and make payments, as opposed to prior periods when some taxpayers would only make estimated payments.

URA also indicated that Shs53.68b was collected, increasing by 303.41 percent, the highest percentage increase in tax heads in the last financial year, followed by rental income tax, which increased by 33.15 percent from Shs156.1b.  However, some critics argue that the gaming industry has negative social and economic consequences, particularly for vulnerable populations.

Proponents of an increase in game tax argue that the increase will help to mitigate some of the negative effects by providing additional funds for social programs and initiatives. However, some stakeholders argue the increment will harm the gaming industry and is likely to discourage investors.

The lotteries and gaming industry is expected to expand further in the coming years, owing to increased access to mobile technology and rising disposable income levels among the country’s population.

 

The Impact of 2022 World Cup to the African Sports betting industry

Five African nations are competing in the 2022 FIFA World Cup and it is anticipated that an incredible 86% of the continents’ population in Sub-Sahara alone will be tuning into the matches, a new Geo poll study says. Sports-mad Africans from all other states in Africa are no exception too. Africa is home to world-class athletic champions, Safari Rally enthusiasts, and rising international rugby, football, tennis and other key games players.

Football is the most popular spectator sport in the continent which is why it’s an up rapid bets seasons for all sports-books in Africa just as it is for the rest of the world and mostly the US. That being said it’s key for most African sports-books to have aligned their offerings for the tournament to best suit the needs of most bettors mostly by plugging in the best CRM solutions to help them acquire more new bettors, awakening dormant ones and retaining existing ones, which is why all of us at SCCG management would like to re-emphasize reaching out to our partner client “https://symplify.com/“   if you haven’t already to make sure you don’t miss out on the juice.

Additionally, they’re key highlights to see out on this magnificent 2022 World cup as it’s unique in so many ways;

  • Senegal one of African football giants in the football arena is among the second group of teams to play on the 21st November after the opening by Qatar on the 20th which most likely will keep all Africans excitement for the tournament at the best high as a win is likely inevitable.
  • It will be the last World Cup to feature 32 teams before it’s expanded to 48 teams in 2026.
  • First time the tournament has been held in the Middle East – Qatar making it easier for many Africans to attend the tournament as Qatar is visa free to so many African nations.
  • First time the tournament to be held during winter season for most European countries and the UK making it a perfect time to explore the gaming industry before or after the tournament.

Unlike all other previous World cups this one has come in a time when most African countries’s internet and mobile phone penetration are at their best high following the over 24 months lockdowns during covid-19 pandemic paving way for more bets to be placed across the continent than before.

Football makes up a huge proportion of the international online sports betting market, especially in European nations like Germany, France, Italy, Spain, and the UK. In fact, up to 90% of all sports wagers in the UK are placed on football. In Europe, even the most casual football fan will place a bet on the World Cup so will in Africa.

According to Sportradar one of the world’s leading sports data providers, bets on the World Cup totaled approximately €136 billion in 2018. The UK alone experienced a 50% upsurge in gambling activities from the 2014 World Cup to the 2018 World Cup. In fact, each game in 2018 experienced an average betting turnover worth €2.1 billion.  This year, that number is likely to be absolutely smashed as this is the first opportunity for American football fans to bet online, following the supreme Courts 2018 ruling that legalized sports betting. Plus, with “soccer” now more popular than ever in the States, we could see an all-time record which growth are largely expected to double across the African continent as well interms of bets turnover making the continent the new kid on the block to explore.

Conclusion: Reach out to us if you’re a sportsbook looking to expand or explore the African sports betting industry and we vanish you with feasibility market reports about any African market, assistance with license application & acquisition, partnerships or any other key needs in the African gaming industry.

By Najib Balinda

Nigeria introduces new gaming license for non-domiciled operators

Nigeria is set to introduce a new remote operator permit for offshore-licensed operators, allowing businesses to offer online gambling in Nigeria without a local presence. Businesses will be eligible for a remote operator permit if they already hold a licence in another jurisdiction and wish to offer their services to Nigerian players.It will allow operators to offer casino games, bingo, slots, sports betting and poker.

While this looks great for the non-domiciled operators will the locally licensed operators find this new permit fair to their businesses?

Are the stipulated fees for acquisition of this permit realistic or rather wayward?

See below key highlights while we shall plan to setup an online panel to hear thoughts of different top level gaming Professional’s views on this new move – Panelists will include our Co-founder Stephen Crystal among other top names in the industry we shall share soon!

Key Highlights

The permit will be valid for five years. Operators will pay an initial $100,000 to receive the permit, followed by fees of $50,000 in each of the next four years. The Nigerian National Lottery Regulatory Commission will issue terms and conditions which permit-holders must adhere to.

Holders of the new permit will be allowed to offer their services in Nigeria and to advertise within the country in print media or via affiliate programmes.

Key to the new regime will be an updated tax collection system, powered by UK-based fintech company E-Technologies Global Limited’s Sentinal product. This will allow payment providers to deduct taxes at the point of transaction and remit funds immediately to the Treasury.

Mohammad Nami, executive chairman of the Federal Inland Revenue Service of Nigeria, said the new system was an important way to boost tax revenues at a time when this was a major priority for governments everywhere.

“The world is entering a challenging time where there is a strong obligation on governments to increase tax revenue as a percentage of GDP so as to provide much needed funding for local infrastructure and public services.

“Nigeria needs to innovate and harness technology to ensure that online transactions are taxed and accounted for.

“We have been very impressed with the Sentinal system which allows us to not only collect tax revenues at source, but also provides us with tax reporting and monitoring tools in real-time. The system will integrate with our own TaxPro Max portal.”

Lanre Gbajabiamila, director general of the National Lottery Regulatory Commission of Nigeria, said that the country would welcome any offshore operators that pass its screening process.

“Online gaming continues to grow rapidly in Nigeria, particularly on mobile, and the adoption of E-Technologies’ Sentinal National Payment Gateway is a huge step to allow us to capture gaming duty at source,” he said.

“We are welcoming all responsible offshore gaming operators to apply for a remote operator permit as long as they pass all the relevant criteria including full AML screening and responsible gaming practices.

“We are proud to be the first country to adopt the Sentinal system and we believe it will bring a real national benefit to Nigeria.”

E-Technologies’ CEO, David Kicks, said the deal was a major step in the increased expansion of the regulated sector at the expense of grey markets.

“This landmark deal will herald a new era in rapidly opening new regulated markets for responsible gaming operators, as grey market operating becomes increasingly problematic,” he said.

By Najib Balinda, sourced from the Nigerian National Lottery Regulatory Commission.

A look into Zimbabwe’s gaming industry

In Zimbabwe, gambling has conventionally always been frowned upon as a social vice and vanity. Where it occurred, it was limited to the state lottery, horse betting and an odd casino.

Now, the tide has shifted. Sports betting shops, casinos and lottery gaming are cropping up rapidly in the country’s major urban centres as punters strive to make an extra coin and satisfy a growing appetite for gaming and gambling. Activity usually peaks when the football leagues around the world start.

Driven by rising poverty and unemployment levels currently estimated at 5.4% by the International Labour Organisation, many ordinary citizens, especially the youth because of being un-employed are increasingly turning to gambling.

Zimbabwe’s economy is in a fragile state with an unsustainably high external debt of around US$9.9 billion. This has led to a massive death of industries and high levels of self employment, capped in part by chronic liquidity challenges, structural bottlenecks that include power shortages, an infrastructure deficit and a constrained fiscal space.

“The industry has evolved with the advent of various players coming on board and offering diverse products, not necessarily related to thoroughbred horse racing. Products such as sports betting have begun trending. Other establishments have also introduced lotteries, scratch cards and limited pay-out machines outside the confines of traditional casino settings,”

Most of Zimbabwe’s major towns now have gambling businesses, with the capital Harare being the main hub. Most resort hotels also have casinos which are popular with tourists. The Lotteries and Gambling Board is the country’s regulatory body responsible for controlling and monitoring operations of the gambling industry through the Lotteries and Gaming Act which came into operation in 2000. The board also issues licenses to gaming operators.

Social commentators say gambling has its good and bad side. Edmos Mtetwa, a lecturer at the School of Social Work in Harare, sees the increasing rate of gambling as a social disease, motivated by economic reasons.

“Gambling became more rampant during the difficult years that preceded the introduction of the multiple currency system in Zimbabwe in 2009. It has now become a source or an additional source of livelihood for many,” he says.

Mr. Mtetwa, however, does not think gambling will provide solutions to socio-economic problems. “It will not alleviate poverty but instead swindle punters of hard-earned cash in addition to breeding a generation of young people who do not know right from wrong.”

Labour economist Godfrey Kanyenze says gambling has always been practised in the country but has grown in the recent past due to economic desperation and people trying to leverage for some income.

“People are under pressure from a non-performing economy so they are looking for quick wins because ordinary mechanisms for acquiring assets are limited,” noted Mr. Kanyenze, adding that the scale of gambling would lessen if the economy improved.

But Mr. Mhembere argues that socially, gambling is a form of recreation that can be lucrative to punters. “Social demand for gambling has improved with the advent of sports betting as the youth can now infuse their sporting interests with gaming interests. Economically, big bets laid on big events have the propensity to generate huge incomes for the entities involved,” he says.

With a combined population of over a billion people, many of whom are poor, gambling is becoming a popular activity in Africa. Legal casinos are known to operate in many countries among them Morocco, Tunisia, Ghana,Uganda, Liberia, Nigeria, Gambia, Gabon, Rwanda, Kenya, Tanzania, South Africa and Botswana. But while the gambling industry in Zimbabwe is experiencing phenomenal growth, it contrasts with developments elsewhere in Africa where the industry is reportedly moderating.

Conclusion

Zimbabwe is ready for business