Tanzania’s gaming industry collected TZS307.8 billion (approximately $116.2 million) in tax revenue for the financial year ending June 2026, as reported by James Mbalwe, director general of the Gaming Board of Tanzania. The increase was attributed to the growing accessibility of smartphones and the rise of digital payment methods which have transformed how gambling is conducted in the country.
Mbalwe emphasized the impact of enhanced mobile phone access on online gambling, particularly sports betting and casino games. He noted that easier methods for deposits and withdrawals have drawn more people into gaming.
"The payment transactions for wagering and withdrawals have been significantly simplified, making it convenient for more participants," he said.
He also highlighted that Tanzania's youthful demographic is increasingly comfortable with digital entertainment, playing a key role in the shift from traditional gambling to online gaming. Revenue from online platforms has now overtaken that from physical establishments. Before 2016, brick-and-mortar casinos and slot machines generated the most income, but the landscape has shifted dramatically since then.
The legal framework governing the gaming sector has also evolved, encouraging private investment, except for the government-run national lottery. Mbalwe mentioned that a proposed 5% excise duty on betting stakes was not put into effect, meaning the current tax structure remains unchanged.
On the ground, the Gaming Board is actively combating illegal slot machines, with over 3,000 units confiscated last year, most of which were operated by Chinese nationals. He noted a decrease in illegal operations but cautioned that offenders adapt by relocating to more remote areas.
"Criminals adjust their strategies by targeting regions that are harder to police," Mbalwe explained, suggesting that greater cooperation with local government authorities could improve detection and enforcement efforts.
The board offers a self-exclusion program where players can voluntarily restrict their access to gambling facilities; however, Mbalwe criticized the current manual process as inadequate. Plans are underway to implement an electronic system that will allow better tracking of self-excluded individuals.
Mbalwe described the need for stronger player protection measures under the Gaming Act, noting that while it prohibits minors from gambling, it lacks comprehensive policies on responsible gaming.
The Board's efforts to manage unregulated online gambling face challenges, particularly as these operations often extend beyond Tanzania’s borders. Licensed companies are limited to using platforms vetted by accredited testing agencies. The Board works with the Tanzania Communications Regulatory Authority and police cybersecurity teams to shut down unauthorized sites.
Upcoming initiatives aim to equip the Board with tools to block unregulated platforms more effectively.
Looking ahead, Tanzania will host the Gaming Regulatory Africa Forum (GRAF) conference in 2027. Mbalwe sees this as a chance to spotlight the gaming industry’s growth and address significant issues such as online gambling regulation and taxation.
"Illegal online operations are one of our biggest regulatory challenges," Mbalwe stated. "We need to collaborate rather than operate in isolated silos, especially when dealing with cross-border crimes."
He identified the taxation framework as another area requiring attention, underscoring the lack of clarity in how the industry should be taxed.
In the next 12 months, the Board aims to prioritize enhancing revenue collection through improved electronic monitoring and intensifying efforts against illegal gambling in both digital and physical spaces.
Mbalwe expressed enthusiasm about the upcoming GRAF conference, aiming to tackle tangible regulatory challenges and foster networking among experts. He concluded by assuring that Tanzania would provide a warm welcome, highlighting its rich culture and natural beauty as additional attractions for attendees.
