The Ethiopian Lottery Service (ELS) has reaffirmed that the country's ban on sports betting remains in effect, more than seven months after the withdrawal of operating licenses across the sector. Last week, ELS communicated this clarification via its official Telegram channel, responding to a rise in fraudulent activities as opportunistic individuals exploit the uncertainty surrounding the shutdown to target Ethiopian consumers.
The regulator emphasized, "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 was sparked by the dissemination of misleading information from some sports betting organizations on social media and other platforms. ELS highlighted the dangers associated with engaging unlicensed operators, stating that users could risk losing their money and personal information. The ELS further noted that recovery of losses would be difficult, as these operators operate outside legal parameters.
People are encouraged to report any illegal betting operators via the short code 9695. ELS reiterated its commitment to collaborating with governmental agencies to safeguard the public interest, ensure financial integrity, and uphold the rule of law.
The intensified warnings follow a major crackdown that commenced in November 2025, when Ethiopia's National Intelligence and Security Service (NISS) announced the arrests of 24 individuals linked to sports betting companies, described as owners and accomplices.
NISS alleged that these individuals had concealed over ETB100 billion ($620.5 million) in revenue from the government. The investigation revealed that these funds were allegedly channeled abroad through cryptocurrency exchanges and informal transfer systems, while domestic payment aggregators were accused of masking transaction volumes under client confidentiality protections. This scale of financial maneuvering presents a significant regulatory concern, particularly for Ethiopia, regarded as one of the world’s lower-income economies.
Following the investigation, ELS swiftly revoked the licenses of 22 sports betting companies on December 4, 2025, referencing information from the NISS, along with the arrests. Just 11 days later, all remaining sports betting licenses were annulled. However, ELS did not explicitly correlate the license cancellations with the arrests or the multi-billion ETB figure. Instead, the rationale cited broader concerns regarding illegal financial transfers and their potential threat to national security.
There has been no direct official statement linking the nationwide revocation of licenses to the specific arrests made. Moreover, reports indicate that all 24 individuals arrested were released from custody by late January 2026, though authorities have not clarified the status of any charges.
Ethiopian business outlet Shega reported that prior to the shutdown, the sports betting sector was processing between ETB800 million and ETB1 billion in transactions daily, indicating that there remains substantial activity even after the bans.
Currently, the legality of sports betting is also facing scrutiny due to ongoing legal challenges. The Federal High Court recently overturned the National Lottery Administration’s suspension of Hulu Sport, citing procedural irregularities in the regulator's decision. Despite this ruling, ELS appealed, securing a temporary stay of execution that prevents Hulu Sport from resuming operations. Although the court's ruling raises doubts about the regulator's enforcement practices, it has not reinstated Hulu Sport's license nor reopened the market.
In light of this context, ELS's recent announcement seeks to address any misconceptions that may have arisen from the legal developments, reaffirming that no operator is licensed to conduct betting within Ethiopia.
Despite the existing ban, government officials remain open to the idea of developing a regulatory framework for the sector in the future. During a parliamentary session in February 2026 concerning a new sports proclamation, Mekiyu Mohammed, the state minister of culture and sports, remarked that completely banning betting or preventing betting technology was infeasible under current global conditions. He advocated for establishing a legal framework aimed at harnessing potential benefits from the industry.
Additionally, Beza Girma, CEO of ELS, indicated in the same session that the division of oversight between two ministries has complicated efforts to regulate the industry effectively. These statements suggest a shift in focus among Ethiopian authorities from outright prohibition to considerations of governance and regulatory structure regarding betting activities.
Nevertheless, for international operators and potential investors eyeing Ethiopia's large consumer market, the message remains clear: there is currently no licensing framework available, no consultations taking place, and no foreseeable timeline for the return of a regulated betting market.
