Gambling and online casinos in Kenya

Kenya is one of the most developed countries in Africa in the field of gambling.

Here, gambling is fully legalized and regulated by the state, and online casinos and sports betting have become an integral part of the digital economy.

In recent years, Kenya has become a leading player in East Africa, ahead of Uganda, Tanzania and Rwanda in terms of market volume and the number of licensed operators.

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Historical context

Gambling in Kenya has a long history.

Back in 1966, the Betting, Lotteries and Gaming Act was adopted, making the country one of the first in Africa to officially allow gambling.

The first casinos appeared in Nairobi and Mombasa, aimed at tourists and business customers.

With the development of mobile technologies in the 2010s

Kenya has pioneered online betting, where mobile betting and digital lotteries have become mainstream.

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Legislation and regulation

Gambling is regulated by the Betting, Lotteries and Gaming Act (Cap. 131)

and operated by Betting Control and Licensing Board (BCLB) -

national regulator subordinate to the Ministry of the Interior and National Security of Kenya.

Main provisions of the legislation:

• gambling is only permitted under a BCLB licence;
• online casinos and bookmakers must have a domain. co. ke;
• the minimum age of a player is 18 years;
• gross operator income tax (GGR) - 15%;
• deduction of 20% tax on winnings from players;
• mandatory integration with the KRA (tax service) system;
• a ban on advertising without the permission of the regulator.

Kenya is considered the most developed gambling jurisdiction in East Africa, and its legislation is often used as a model for neighboring countries.

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Legal forms of gambling

Kenya allows:

• casinos and gaming clubs (in Nairobi, Mombasa, Nakuru);
• bookmakers (including online betting);
• national lottery and instant games;
• virtual casinos and live games;
• sweepstakes and bingo.

Major licensed operators:

• Betika is Kenya's biggest bookmaker;
• SportPesa is an online gambling leader with Kenyan roots;
• Odibets, MozzartBet, Betway Kenya, 22Bet Kenya;
• Casino Flamingo, Finix Casino, Casino Royale Nairobi - offline establishments.

There are dozens of legal casinos in the capital Nairobi and on the coast in Mombasa, targeting both local gamblers and tourists.

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Online gambling

Kenya is East Africa's leader in online gambling.

Due to the high penetration of the mobile Internet and the popularity of electronic payments, online betting has become part of everyday culture.

Popular destinations:

• sports betting (football, basketball, cricket, eSports);
• virtual casinos and live dealers;
• mobile lotteries and instant games;
• crypto-gambling (at the stage of test regulation).

Payment systems:

• M-Pesa is the main payment method integrated into most platforms;
• Airtel Money, Equitel, T-Kash;
• KCB Bank, Equity Bank, Co-operative Bank bank cards;
• cryptocurrencies (Bitcoin, USDT) through local wallets.

According to Africa iGaming Report 2024, the number of active online players in Kenya exceeds 2 million people, and the annual market turnover is $400-450 million.

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Economic importance

Gambling generates substantial revenues for Kenya:

• annual tax revenues - more than $100 million;
• contribution to GDP - about 0.8%;
• more than 15,000 jobs in the IT, marketing and offline sectors;
• investments by international brands and local startups.

The government actively uses revenues from licenses to finance sports, education and charitable programs.

In 2022, BCLB transferred $12 million to the development of national football leagues and youth academies.

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Social and cultural context

Kenya is a country with a religious tradition, with church and community organisations calling for moderation in gambling.

However, the state focuses on responsible gambling, introducing educational campaigns and self-control programs.

BCLB obliged operators to implement the functions:

• deposit limits and playing time;
• voluntary account blocking;
• dependency risk notifications.

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Prospects

Kenya leads Africa in digitalizing gambling, and its market will continue to grow in the coming years.

Government plans by 2030 include:

• launch of a single national e-Gaming licensing portal;
• introduction of crypto-gambling taxation;
• setting up a gambling cluster in Nairobi for international operators;
• development of esports leagues and live-betting.

According to the forecast of Gaming Africa Index 2030, the volume of the Kenyan gambling market may exceed $1 billion, and the online segment will occupy more than 70% of the industry.

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Kenya is Africa's most technologically advanced country in gambling.

It has clear legislation, high digital integration and stable taxation, which makes it a regional benchmark for gambling regulation.