What Africa Must Do-Reaching that Tipping point in the Global Gaming Market

Gambling is a relatively underdeveloped industry in Africa compared to other global iGaming markets, unlike the European market. Indeed, there are clear signs that the African region is full of pent-up demand from investors thanks to the abundance of natural resources the area posses making the gaming industry a billion-dollar industry today.

Apart from this, the youthful mobile-first and tech-savvy population have made the region a market that attracts a lot of attention. The iGaming industry has been the focal point for foreign investors, experiencing growth over the last five years. Recently, the sector further sees iGaming betting and gambling surge due to the related lockdown to curb the spread of coronavirus. But still, they are a lot of challenges that need to be addressed for Africa to reach that tipping point in the global gaming industry.

Even though some expert has tipped Africa to be reckoned with in the global gaming market in years to come if there put their hat together by addressing key sectors and by embracing tech, which has given many in the industry a beacon of hope that the Africa gaming industry is almost there, therefore to solve these pain point issues ravaging the sector as experience over the years, Africa regulators and stakeholders must take advantage of tech momentum means embracing digital transformation in key sectors that require it. Hence, it will be highlighting some of the problems the region poses and profound solutions to make Africa a full-blown gaming industry.

Proper Regulation/Legislation of Online

Gambling is a legal entity in most countries in Africa, and out of the 55 states recognized by Africa Union, only 5 of them prohibit gambling. These are to tell you legislation of gambling has been in existence for quite some time in the region, but out of the 50 states that allow gambling in their respective country’s still the laws guiding the gambling industry are either unclear, outdated. In contrast, despite the growth the gaming industry has experienced in the last couple of years, the regulatory system in the most African country as been lip service than anything else; in some cases, there is a total lack of capacity and lack of political will while in some cases it’s merely the perennial problem most technology-based industries confront that of regulation playing catch-up with technology.

The legislation and regulation of iGaming are still in their infancy stage in the region because most of the countries in the area don’t have clear cut laws for iGaming. Even though some do not mention online gambling laws in their gambling Act, While some of the countries that mentioned online gambling laws in their gambling Act, it’s still not properly regulated; for instance, offshore betting sites could target players from the region without been licensed. Though more African regulators must consult with the right expert and embrace technology in this field to solve some of these regulatory issues facing the industry, revolutionizing the regulatory system is the hallmark of any industry and continuously updating the Gambling Act to meet global standard is fundamental if the region wants to reach that tipping point reckoned with on the global stage.

Gambling Taxes

There has been much debate on how regulators determine Africa’s tax system, some countries in the region as lax tax laws. In contrast, some of the gaming taxes are exuberant for operators to cope with it giving the market’s condition. Still, highlighting the market, the gambling industry is growing at a fast-pace which the gambling industry is a million-dollar business today. It is quite essential regulators put so many things into consideration in Africa before they determine gaming taxes. Profound solution through applying adequate market research in industry is crucial, i.e., determine the numbers of betting enthusiastic, average players stake, what figure is the company in question are generating these are some grey areas adequate research needs to be conducted by regulators this could be achieved using the right technology to determine this figure while doing this tax system could be specified in each country depending on the market size it is quite challenging that most African countries determine the taxes based on assumption. Hence, it is fundamental that Africa’s regulatory bodies balance the tax system for the industry’s survival.

Licensing Process

For Africa to attract significant investors, each gaming board in the region needs to create a clear cut stipulated time to process gambling licenses, guidelines, and time to approve gaming licenses. As it is most cases, it could take forever months and a rigorous process attached to the whole process and the stages for licensing gaming companies. Therefore achieving this, regulators in Africa must embrace digitalization in the service they render. Taking advantage of tech momentum is the hallmark that the industry needs, continuously updating the licensing process from time to time to meet global best practice?

Responsible Gambling

This section is one of the most crucial parts for the Africa gaming industry; based on research. It is shocking to know a few countries in the region as a responsibly gaming foundation that educates and attends to those who have a problem gambling. The regulators and stakeholders must consider a partnership with the right body, and operators need to adopt the right tech to detect unusual customer behavior using existing data such as (AI) artificial intelligence while; given the influx of iGaming betting and gambling, regulators must put in place foundations to cater for bettors. The governments shouldn’t focus on taxes alone but look at the harm excessive gambling could cause as the adage says in my culture, “excess of everything in life is bad,” we shouldn’t focus solely on the benefit involved. The rising numbers of punters keep increasing year in year out in the region. To my knowledge, the region’s population is projected to double by 2050, which will see the demand for everything. It is expected that Africa’s economy could be overwhelmed, and the youthful population that is expected to increase are likely to be betting enthusiastically. Africa is prone to see more underage gambling and addiction cases. Urgent attention is needed for the foreseeable future to curb underage gambling and addiction in the gaming sector.


Gaming operators in Africa must continuously educate new and existing customers on other products they offer apart from the reliance on football betting focus that has gained massive traction over the years giving the love-affair the average African population has for sports, especially football, there other products that bettors could derive that same fun and entertainment while some football betting enthusiastic could derive much pleasure from other game products such as online poker games, online casino, e-Sports many other if the right education is in place based on research conducted many players don’t have a clear understanding going about this games, fundamentally, we push these products to players especially during the off football regular season unlike how virtual games became popular in the market.

Bottom Line

I firmly believe the gaming industry in Africa could reach that tipping point if stakeholders in Africa could attend to the grey areas. The Africa gaming industry can rival other continents in terms of yearly Game Generated Revenue (GGR). By continually updating their Gaming Act, embracing innovation in technology advancement, and learning from other markets, particularly the European market, and consulting with experts considering this Africa gambling industry could reach that tipping point to be reckoned with in the global gaming market.

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