Governments across Africa are increasing taxes on the fast-growing online gambling sector, as concerns rise over addiction and economic hardship driving people to bet.
The surge in online gambling, fueled by easy access to mobile betting platforms, has transformed what was once a niche activity into a widespread trend across the continent. Authorities say the move to raise taxes aims to both curb addiction and boost state revenues.
In South Africa, the continent’s largest gambling market, regulators estimate that nearly two-thirds of adults now participate in online betting—up sharply from just 30 percent in 2017.
The government has proposed a 20 percent national tax on online gambling profits. If approved, the measure could more than double annual revenues from the sector to around 10 billion rand, compared to the current 4.8 billion. The proposal is expected to be presented to lawmakers this year, with possible implementation by early 2027.
However, the gambling industry is pushing back. Companies and industry groups argue that higher taxes could drive users toward illegal and unregulated betting platforms, making the problem even harder to control.
According to the National Gambling Board, betting activity has already reached record levels, with gamblers wagering approximately 1.5 trillion rand in the 2024–25 financial year.
Meanwhile, support organizations are raising alarm over the human cost. The South African Responsible Gambling Foundation reports a sharp rise in distress calls, with more than 4,600 people treated for gambling addiction last year—up significantly from previous figures.
Experts say many people are turning to gambling out of financial desperation rather than entertainment, reflecting broader economic challenges.
Other African nations, including Malawi, Zimbabwe, and Senegal, have also introduced or planned similar tax increases.
Still, critics warn that taxation alone may not solve the problem. Without stronger regulations, enforcement against illegal betting, and support systems for addiction, the crisis could continue to grow.
As governments seek to balance revenue generation with social responsibility, the battle between regulators and the gambling industry is set to intensify across Africa.