iGB Africa report - The rise of digital | Page 22

Regulatory trends

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Africa report An introduction to online gambling in Africa
Regulatory trends
MORE PATCHWORK THAN QUILT Much as with other regions around the world, Africa is playing catch-up when it comes to the regulation of online gambling. Prohibitions are rare – only five countries explicitly ban gambling, mainly on religious grounds. But the number of countries that specifically regulate online gambling is also still relatively small – 11 out of 54 according to data from VIXIO GamblingCompliance. In many of the rest there are existing regulations on land-based gaming, at either national or regional level, that have been in existence for some time and where online gambling is a grey area, not unlike with many parts of Europe.
“ The number of African countries adopting a regulatory framework is on the rise and this is of crucial importance to the industry,” says Fried from BtoBet.
He says many are taking their cue from the progress being made – albeit slowly – towards regulation in Europe.“ Africa is keen on adopting this approach, with countries adopting laws on a national level,” he adds.“ Operators have a key role in this process, and it is encouraging that local regulatory bodies delve into fruitful discussions with operators to determine the best possible regulatory outcome, one that proves to be a safeguard for all parties involved.”
MOVING THE GOALPOSTS Still, as has been evident even in regulated countries such as Kenya, the nature of the political backdrop in many parts of Africa means that the regulatory situation – and particularly taxation regimes – can be volatile.
“ You have to remember that the situations in which
you operate are unstable by nature,” comments Wilkie from Yellowbet.“ It is always a good idea to cover bases. If you are seen to give money to political parties, for example, support the opposition equally as much as the incumbent: things change quickly.”
At an operational level, meanwhile, the regulations as enacted often place extra burdens on both operators and suppliers.
“ Most of the regulations cannot be left to the operator as the platform providers have to constantly customise bet slips to implement various types of taxes imposed on players’ stake amounts and / or winnings, and these taxes in some countries iGB Market Monitor