The Ethiopian Lottery Service (ELS) has publicly reaffirmed that the ban on sports betting in the country is still effective, following the revocation of all operating licenses in this sector seven months ago. This announcement was made through a post on ELS's official Telegram channel last week, aimed at addressing concerns surrounding the exploitation of the situation by scammers targeting Ethiopian consumers.
In its statement, ELS clarified, "At present, there is no sports betting organisation operating in Ethiopia with a legal licence. We strongly caution citizens not to engage in betting or deposit money through illegally operating sports betting services, websites, social media pages, or any other money-collection channels." This warning comes in response to misinformation circulating on social media from certain sports betting entities.
ELS stressed the risks involved with dealing with unlicensed operators, which include potential loss of funds and compromised personal information. The regulator indicated that consumers who engage with these illegal operators might find it difficult to recover any losses, as these companies lack legal standing. ELS urged the public to report illegal operators through the short code 9695 and committed to collaborating with other government agencies to uphold public interest, financial integrity, and the rule of law.
The backdrop to this warning includes a significant crackdown that began in November 2025. During that period, the National Intelligence and Security Service (NISS) apprehended 24 individuals described as owners or accomplices of sports betting companies. Authorities alleged that these suspects had concealed upwards of ETB100 billion (approximately $620.5 million) in government revenue, funneled abroad through cryptocurrency exchanges and informal money transfer networks.
The significance of such an amount is particularly pronounced in Ethiopia, classified as one of the world's low-income economies. The reported concealment of over $620 billion related to betting activities is a serious concern for the government.
In light of these developments, ELS took swift action. On December 4, 2025, it suspended the licenses of 22 sports betting firms based on information from NISS and the preceding arrests. Just eleven days later, ELS moved to revoke the remaining sports betting licenses. Notably, ELS's directive did not explicitly mention the arrests or the substantial sum of ETB100 billion; instead, it cited a broad review of the betting and financial sectors and potential threats to national security from illegal financial transfers.
No official statement has directly linked the license revocations to the NISS arrests. Additionally, reports indicate that all 24 detained individuals had been released by late January 2026, but authorities have not clarified whether charges were dropped or remain outstanding.
Legal challenges have emerged following the crackdown. The Federal High Court recently overturned the National Lottery Administration’s suspension of Hulu Sport due to procedural irregularities, although Hulu Sport remains unable to operate as the regulator has appealed the court's decision, securing a temporary stay of execution. While this ruling has raised doubts about the enforcement methods of the regulator, it has not restored Hulu Sport's operating license or reopened the market for others.
ELS's recent announcement aims to clarify the legal status of sports betting following these court proceedings by reiterating that no operators currently possess a license to offer betting services in Ethiopia.
Despite the ongoing ban on sports betting, some government officials are contemplating future regulatory structures for the sector. During a February 2026 parliamentary meeting addressing a draft sports proclamation, Mekiyu Mohammed, state minister of culture and sports, stated that completely prohibiting betting was "impossible" given global trends. He advocated for creating a legal framework that would allow the country to harness potential benefits from the industry.
Beza Girma, CEO of ELS, echoed this sentiment by noting that the division of oversight between two ministries had hampered effective control and accountability in the sector. These discussions suggest a shift in focus for Ethiopian authorities from outright prohibition of betting to the establishment of a regulated governance framework.
For international investors eyeing access to Ethiopia’s market, which includes about 130 million consumers, the current situation is stark. There is no licensing process available, no consultations are planned, and no timeline has been established for a return to regulated operations.
