Africa appears to be the world’s next gambling hotspot, thanks to a rapidly growing young population and widespread technology. Almost three-quarters of African youths now have cell phones.
So they can bet on sporting events. With increased internet connection, bettors may now visit online casinos from the comfort of their homes. There is more potential where operators can start businesses to maximize it.
Due to the increase in gambling among young people, African governments such as Kenya and Zambia have implemented laws and regulations to protect this demographic. In Kenya, the Betting Control and Licensing Board regulates online casinos. Zambia has a complex series of rules that penalize operators who endanger public safety. Nonetheless, there are differences that make these two countries’ gambling laws unique.
Online gambling is not regulated in Zambia. The existing laws target land-based casinos. Online bookmakers are free to set their own prices. Kenya’s government is rigorous, requiring all internet providers to be licensed by the Betting Control and Licensing Board. Due to the strictness of the legislation, the country’s two largest gambling companies, SportPesa and Betin, had to shut.
Kenya has passed a legislation requiring all gaming companies to produce commercials that are not misleading to the public. A few corporations were over-selling hope to their clients until the cabinet secretary of interior ordered the Communications Authority to stop doing so. Ads are not regulated in Zambia. Because web operators are unregulated, the nation has not enacted regulations addressing public promotional material.
Kenya has the third greatest income from gaming. As a result, the government raised taxes from 20% to 35% in 2019. This meant that every gambler had to pay 35% tax. The supreme court stopped this increase. Until 2019, gamblers in Zambia were subject to a 20% tax. The administration has now eliminated the tax and is working on a more comprehensive tax framework to increase revenue collection.
All gaming operations in both nations must be licensed. But the renewal period varies. Casino licenses in Kenya must be renewed every 3 years. Licenses in Zambia must be renewed every 5 years. As a result of the restricted time a firm may lawfully operate in Kenya, the regulation clearly increases costs. But there are other reasons why Kenya is a gaming powerhouse.