The Ethiopian Lottery Service (ELS) recently reaffirmed that the country’s sports betting ban is still in effect, following the revocation of all licenses in the sector seven months ago. This announcement, shared on ELS's official Telegram channel last week, arrives as unscrupulous operators take advantage of the confusion surrounding the ban to target Ethiopian consumers.
The regulator emphasized that currently, no sports betting organization possesses a legal license to operate in Ethiopia, cautioning the public against engaging with any unauthorized betting services. ELS warned citizens not to deposit money or participate in betting through illegally functioning websites, social media accounts, or any other unauthorized channels.
The warning from ELS stemmed from misinformation spreading on various social media platforms regarding the existence of operating sports betting organizations. The regulator highlighted the dangers associated with unlicensed operators, which may jeopardize users’ finances and personal data, as recourse for recovering financial losses would be difficult when dealing with entities that lack legal standing.
To combat unlicensed operations, ELS urged the public to report illegal activities using the shortcode 9695 and reassured that it is collaborating with government institutions to safeguard public interest, financial integrity, and the rule of law.
Ethiopia's betting industry began facing serious scrutiny after a crackdown initiated in November 2025, when the National Intelligence and Security Service (NISS) arrested 24 individuals involved with sports betting companies. NISS accused these individuals of concealing over ETB100 billion (approximately $620.5 million) in revenue from the government, alleging that the money was funneled abroad through cryptocurrency exchanges and informal transfer networks, with domestic payment aggregators claimed to have hidden substantial transaction volumes.
This substantial amount raised significant regulatory alarms in Ethiopia, a nation identified as one of the lower-income economies worldwide. Following NISS's findings, ELS quickly responded. On 4 December 2025, it suspended licenses for 22 sports betting firms based on information provided by the intelligence agency, leading to the total revocation of all remaining betting licenses just eleven days later.
While the revocation of licenses followed an investigation, ELS did not directly tie the action to the arrests or the ETB100 billion allegation. Instead, the justification was based on a nationwide review of the betting and financial sectors and concerns surrounding illegal financial transfers that posed risks to national security.
As of late January 2026, reports indicated that all 24 individuals arrested in November had been released, though authorities have provided no clarity on whether charges were dropped, transferred, or still pending.
Amid these developments, the Ethiopian business outlet Shega reported that before the crackdown, the betting sector had been handling daily transactions estimated between ETB800 million and ETB1 billion. This level of financial activity has not completely vanished.
The warning issued by ELS also coincides with ongoing legal disputes regarding the crackdown. The Federal High Court recently overturned the National Lottery Administration’s suspension of Hulu Sport, citing procedural irregularities in the suspension decision. However, the situation for Hulu Sport remains unchanged as the regulator has appealed the ruling and secured a temporary stay on restoration of operations.
Although this court decision raised concerns about the regulatory enforcement process, the legal status of sports betting in Ethiopia has not altered. No operators presently hold a license to provide betting services.
In a sign that discussions concerning the future of betting in Ethiopia may be evolving, government officials have not entirely ruled out the establishment of a regulatory framework for the segment. During a February 2026 parliamentary hearing regarding a draft sports law, State Minister of Culture and Sports Mekiyu Mohammed contended that completely prohibiting betting or denying access to betting technology is impractical under present global conditions. He emphasized that Ethiopia should develop a legal framework to realize potential benefits from the betting industry.
Beza Girma, the CEO of ELS, stated that the division of oversight between different ministries complicates policy implementation and enforcement of accountability in the betting sector. These comments indicate a potential shift in focus among authorities from outright prohibition of the industry to how best to regulate it.
For international operators and investors eyeing Ethiopia's market, which includes approximately 130 million consumers, the landscape remains unchanged. Currently, no licensing avenues are available, no consultations are underway, and there is no clear timeline for a return to a regulated environment for betting services.
