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Ethiopia Upholds Sports Betting Ban Amid Regulatory Challenges

by Sienna Marques
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Ethiopia Upholds Sports Betting Ban Amid Regulatory Challenges

The Ethiopian Lottery Service (ELS) has reaffirmed that the ban on sports betting in the country is still effective, following the revocation of all operating licenses in the sector seven months ago. This announcement, made via ELS’s official Telegram channel last week, comes as unscrupulous individuals take advantage of the confusion around the ban to target Ethiopian consumers.

"Currently, there is no sports betting organization operating in Ethiopia with a legal license," stated the regulator. "We strongly caution citizens against engaging in any form of betting or depositing money through illegally operating sports betting services, websites, social media pages, or any other channels for money collection."

The ELS issued the warning in response to misinformation circulating on social media platforms concerning the status of certain sports betting organizations. The regulator emphasized that associating with unlicensed operators poses significant financial and personal security risks. Furthermore, it indicated that any financial losses incurred would be difficult to recover as these companies lack legal licensing.

ELS encourages the public to report illegal operators through a dedicated short code, 9695, and stated that it would continue collaborating with government institutions to uphold public interest, financial integrity, and the rule of law.

This recent reassurance follows a major crackdown that began in November 2025 when Ethiopia's National Intelligence and Security Service (NISS) announced the arrest of 24 individuals alleged to be the owners and associates of sports betting companies. The NISS claimed that these individuals had hidden over ETB100 billion ($620.5 million) in government revenue, which reportedly left the country through cryptocurrency exchanges and hawala-style transfer networks, while domestic payment aggregators were said to obscure transaction volumes due to client confidentiality regulations. Such a substantial amount raises significant regulatory concerns, particularly in Ethiopia, which is recognized as one of the world's lower-income economies.

In response to the investigation, ELS swiftly suspended the licenses of 22 sports betting firms on December 4, 2025, citing information provided by the NISS and the arrests. Eleven days later, it subsequently revoked all remaining sports betting licenses. However, the official directive did not specifically mention the arrests or the ETB100 billion figure but rather pointed to a nationwide review of the betting and financial sectors, as well as illegal financial transfers threatening national security.

Notably, there has been no official link established between the widespread license revocation and those specific arrests. Additionally, as reported by Addis Insight, by late January 2026, all 24 individuals taken into custody were released, with no clarification on whether charges were dropped or remain pending.

The Ethiopian outlet Shega highlighted that prior to the shutdown, industry sources estimated that the sector was processing between ETB800 million and ETB1 billion in transactions daily. However, following the enforcement of the ban, such levels of activity seem to have remained constrained.

The ELS's cautionary message also comes amidst ongoing legal disputes regarding the ban. The Federal High Court recently overturned a suspension issued by the National Lottery Administration against Hulu Sport, citing procedural errors. Nevertheless, Hulu Sport is unable to resume operations as the regulator has appealed the ruling and secured a temporary stay of execution. This court ruling has raised questions about the enforcement processes utilized by the regulator, but it does not restore Hulu Sport's license or reopen the market.

While current regulations unequivocally state that no operator has a license to provide betting services in Ethiopia, discussions within the government hint at a potential re-evaluation of the sector’s regulatory framework. During a parliamentary hearing in February 2026, state minister of culture and sports, Mekiyu Mohammed, remarked that completely banning betting or denying betting technology is "impossible" in the current global context. He suggested that Ethiopia should focus on developing a legal framework to harness potential benefits from the industry.

Meanwhile, ELS's CEO, Beza Girma, noted that the split oversight of betting between two ministries has hampered effective control and accountability within the sector. This perspective indicates a shift in the discussion regarding the future of the industry from whether it should exist to how it should be governed.

For international operators contemplating entry into Ethiopia, the current stance from the government remains clear. There is no existing licensing process, consultation efforts, or proposed timelines for establishing a regulated market.

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