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Mozambique Unveils Legal Framework for Online Gambling

by Sienna Marques
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Mozambique Unveils Legal Framework for Online Gambling

Mozambique has introduced a new legal framework specifically for online gambling, establishing a distinct concession regime for games of chance that are offered via electronic platforms, computer systems, and other digital methods. The Council of Ministers officially approved this framework, titled the Regulation on the Operation and Practice of Games of Chance or Fortune through Electronic or Computerised Means, in mid-July.

This regulation sets online gambling apart from the existing concession system that governs land-based casinos in Mozambique. Currently, online sports betting and other games fall under the general social and entertainment-games framework, which encompasses lotteries, raffles, mutual betting, and virtual games.

The new law, however, focuses on online games of chance or fortune, which include casino-style gambling and will operate independently from the land-based casino framework. This regulatory decision comes as the government has observed a drop in tax revenue from physical casinos.

Casino gaming tax collections saw a decline to MZN359.5 million ($5.6 million) in 2025, significantly lower than the budgeted MZN666.1 million, achieving only 54% of the government's target. This figure also marks a 7.3% decrease from the MZN387.7 million collected in 2024, where the budgeted amount was MZN1.235 billion, resulting in only 34% of that goal being met. The government has linked this revenue shortfall to the increasing popularity of online gambling, which has led to fewer visitors at physical casinos, according to data from the Ministry of Finance reported by the Portuguese news agency Lusa.

In response to this situation, Economy Minister Basílio Muhate emphasized enforcement and transparency as central themes after the framework's approval. During a meeting on July 31 with the Mozambican Association of Online Games and Betting, he reinforced the government’s commitment to combat illegal gambling and called for enhanced oversight and transparency. The General Inspectorate of Games (IGJ) has been tasked with these responsibilities. Muhate stated, “We continue to defend the fight against illegal gambling” and highlighted the need for better supervision and transparency.

He urged operators to contribute to minimizing the social consequences of irresponsible gambling, particularly among younger populations. Economist Júlio Saramala advised that the IGJ should disclose its inspection criteria, annual reports, and supporting evidence, reiterating concerns that high unemployment and promotional messages around 'easy money' could entice young individuals into gambling. Saramala argued that the potential social costs might surpass any additional tax revenue generated and called for unified legislation, clear risk communication in advertising, and tighter monitoring of financial transactions involving mobile wallets.

Danilo Mussá, president of the Mozambican Association of Online Games and Betting, noted that the new framework would provide authorities with a clearer basis to tackle foreign betting platforms that appeal to Mozambican users without contributing to local tax revenue. “This approval is important because it gives us a legal instrument that will also enable us to combat foreign betting sites that enter our cyberspace,” Mussá informed O País. He pointed out that individuals often access these sites without utilizing local payment methods like credit or debit cards, resulting in lost tax revenue for Mozambique. Mussá mentioned the association’s intention to work with Mozambique’s National Institute of Information and Communication Technologies (INTIC) to block these offshore sites, although it remains uncertain if the new regulation grants INTIC explicit site-blocking authority.

While the government’s approval of a dedicated framework for online gambling signifies an important regulatory milestone, specific details regarding licensing remain vague. There has been no public disclosure from either the government or the IGJ regarding the costs involved in securing an online-gambling concession, applicable tax rates, minimum capital requirements, application procedures, or technical standards that potential operators must meet. No timetable has been provided for submissions or applications, as publicly available information reviewed by iGaming Business showed no clear pathway for prospective operators. The IGJ has not responded to inquiries regarding when these conditions will be established or how it plans to oversee operators moving forward. Until these regulatory components are clarified, the practical effects of the new legal framework on Mozambique's online gambling market will largely depend on how the government implements licensing and enforcement measures.

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