Kenya introduced a Gambling Control Bill to create a Gambling Regulatory Authority.
The Gambling Control Bill, 2023 is currently being debated in parliament. It establishes a brand new Gambling Regulatory Authority. It will eventually replace the BCLB (Betting, Control and Licensing Board).
The new Authority, which will include the current mandate of the Board, is also responsible for licensing and regulation.
The bill says, “The bill seeks regulation of betting, casino gambling and other forms, such as the authorization of public lotteries, prize competitions and promotional media.”
Kimani Ichung’wah, leader of the National Assembly Majority party, is the sponsor of the state-backed Gambling Control Bill.
Strictly prohibiting gambling by minors and those without a license
This newly introduced Gambling Control Bill will greatly expand the original mission of the Board.
The majority of Kenyan operators failed to meet licensing requirements in 2022, according to previous statements.
A broad range of measures are being introduced to increase taxes, fines and prohibit the registration of minors in any form of gambling.
A bill is also being introduced that will prohibit wagers below KES20. Any operator who offers a bet less than KES20 faces a fine of KES5,000,000.
The ban also applies to radio and television stations, which are prohibited from broadcasting any gambling ads between the hours of 6am and 10:00pm.
Deposits and Taxes
According to the Gambling Control Bill, all operators licensed must have at least 30% of their shares owned by Kenyans. The Gambling Control Bill requires that all licensed operators have a minimum of 30% shares held by Kenyan citizens.
Entities are required to deposit either an insurance bond or a guarantee from a financial institution in order to cover unlicensed gaming.
Casinos will need to pay KES20 Million and KES200 Million for sports betting, lotteries and online gambling.
All lotteries that raise money for charity will be licensed by the new Gambling Authority.
The proceeds of the lottery must be donated to the charity that is promoted.
Anyone or any entity who promotes a lottery without a license will be fined KES1,000,000 or sentenced to incarceration for one year.
Gambling Control Bill imposes 15% on gross gaming revenue, and local counties determine the monthly gambling levies.
Kenyan Finance Bill, passed into law 2022, imposed a tax of 7.5% on bet stakes.
In Kenya, the stake tax is a controversial issue that has long been debated. Sportpesa as well as Betin have previously pulled their services off of the market.
