Uhuru Kenyatta approves revised 7.5% gaming turnover tax

The Republic of Kenya is the forty-eighth largest country in the world by area. With almost 55 million residents as estimated in 2021, Kenya is the world’s twenty-ninth most populous country. When compared to other African countries, Kenya is home to one of the fastest-growing, most developed economies in Africa.

According to one report, its economic growth between 2015 and 2019 averaged 5.7 percent. The most developed industries in Kenya are tourism, manufacturing, mining, fishing, forestry, and agriculture.

As estimated in late 2020, Kenya has the third most developed industry in the Sub-Saharan region after South Africa and Nigeria. Since 2018, the country’s major economic prospects are very positive. One of the major factors positively impacting its economic growth relates to expansions and digitalization in the transport, telecommunications, and construction industries. In addition to being home to highly-developed tourism, agriculture, manufacturing, and forestry industries, Kenya is also home to one of the most developed gambling industries in Africa.

Kenyan Gambling Industry – How is This Sector Performing?

Kenya was one of the very first countries on the African continent to revise its own gambling laws and regulations. The very first law of this kind the Betting Lotteries and Gaming Act has been in force since 1966. Therefore, Kenya is not home to one of the most developed but also one of the oldest gambling industries in Africa. Since the country’s gambling laws and regulations were established several decades ago, Kenya is also considered one of the most open-minded African nations when it comes to online and land-based gambling activities.

Responsible for licensing gambling operators, overseeing all sorts of gambling activities, and everything else regarding the gambling industry in Kenya is the Betting Control and Licensing Board. The Betting Control and Licensing Board was established by the Betting Lotteries and Gaming Act as the main regulatory agency for the gambling industry. According to the main piece of legislation in the country concerning online and land-based gambling activities, Kenyan residents can legally engage in various gambling activities. More specifically, gambling activities are very popular among Kenyan youth.

At the time of creating the main piece of legislation, the Betting Lotteries and Gaming Act, online casino gaming activities were not a thing so today, the iGaming industry even though highly developed is not as regulated as the land-based gambling industry. At the same time, online casino operators who serve Kenyan players can do so legally provided that their services and products are licensed and regulated by the Betting Control and Licensing Board.

As estimated recently, over 10,000 Kenyan residents are employed in the gambling industry. Today, there are no local Kenyan online casinos operating but there are many international online casinos serving Kenyan players. In fact, all of the top online casinos in Kenya as listed at online-casinos.com are renowned, international online casinos that have been present in the industry for quite some time. These not only serve Kenyans but many other online casino gamblers residing in other jurisdictions where these activities are legal and regulated.

Back to the Kenyan gambling market, back in 2017, almost 30 percent of Kenyan residents over the age of eighteen have engaged in some gambling activities previously. According to a report released by the International Journal of Financial Studies, Kenya has the highest number of young gamblers when compared to other countries of the Sub-Saharan African region. The same report, around 96 percent of these young Kenyan gamblers use their mobile devices to engage in gambling activities.

This does not come as a surprise considering the amazing growth of mobile casinos in the country. Digital services including mobile payment options have significantly improved not only the lives of Kenyan gamblers but everyone else. When it comes to online casino gambling and mobile devices, mobile technologies alongside mobile payments have transformed the Kenyan iGaming industry and made online gambling activities more accessible.

According to a report released in 2020 by GeoPoll, the gambling industry in Kenya was worth around US$40 million and it is expected to grow even more in the following years. Kenya is also home to the third most developed gambling industry in Africa after Nigeria and South Africa. While the gambling market in Kenya is mostly dominated by online sports betting activities, online casino games and online poker are closely following. The land-based gambling industry is also developed with thirty fully licensed land-based casinos operating in the country.

One of the major factors contributing to the growth of online gambling activities in the country is Kenyan relatively high internet penetration rate. As estimated in 2021, there were over 21 million active internet users in Kenya so the country’s internet penetration rate stands at 40% and this is relatively high for an African country. In addition to digitalization, greater adoption of mobile devices has also positively impacted the Kenyan online gambling market. The gambling industry in Kenya will expand and grow in the following years following President Uhuru Kenyatta’s approval of a revised 7.5 percent turnover tax.

Source: the-star.co.ke/

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.