The Ministry of Finance in the Democratic Republic of Congo (DRC) has reaffirmed its exclusive authority to regulate the country's gambling industry.
In a press release issued on August 27, the ministry noted that Ordinance No. 25/293 had transferred the regulatory powers from the Ministry of Sports and Leisure to its own jurisdiction. This move is intended to eliminate any confusion about who is responsible for overseeing gambling operations within the nation.
"The Ministry of Finance reaffirms its determination to drive the reform of the gambling and games of chance sector in accordance with government directives, while upholding legal certainty for operators, transparency in activities, and the protection of the Public Treasury's interests," stated the press release, which was signed by Alain Malata Kafunda, the chief of staff to the DRC Minister of Finance.
The press release also cautioned gambling operators against responding to payment requests from departments that lack legal authority to issue them. The ministry urged operators to report any such occurrences immediately to both the Ministry of Finance and the Directorate General of Administrative, Judicial, State Property, and Equity Revenues (DGRAD). The DGRAD is responsible for identifying and rectifying any improper payment notices issued.
Additionally, the Ministry of Finance emphasized that any approvals, authorizations, or payment notices issued without proper authority are "devoid of legal effect," while operators remain responsible for fulfilling their obligations to the DRC's Public Treasury.
Despite the DRC's large population of over 100 million, which presents considerable potential for the gambling market, tax collection continues to be a significant challenge. Last year, Finance Minister Doudou Fwamba estimated that iGaming operators generated around $1.7 billion in revenue yet paid only about $1 million in taxes.
A CEO of a major DRC gambling operator pointed out that the tax system primarily relies on operators self-reporting their revenues. "Operators do pay, yes, but they pay whatever suits them. In other words, we effectively pay what benefits us. All the while, the state has no means of monitoring its regulatory policies," they commented.
In response to these challenges, the DRC Ministry of Finance has proposed a new gambling monitoring platform to improve oversight of the sector. The government is also working on establishing a new legal framework intended to modernize existing regulations and enhance tax collection practices.
