Home Regulatory ActionMozambique Establishes New Legal Framework for Online Gambling

Mozambique Establishes New Legal Framework for Online Gambling

by Sienna Marques
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Mozambique Establishes New Legal Framework for Online Gambling

Mozambique has officially sanctioned a specific legal framework for online gambling, establishing a distinct concession regime for games of chance conducted via electronic platforms and digital systems. This decision was confirmed by the Council of Ministers, which approved the Regulation on the Operation and Practice of Games of Chance or Fortune through Electronic or Computerised Means in mid-July.

The newly adopted framework distinguishes online gambling from the existing concession system that governs land-based casinos in Mozambique.

Currently, Mozambique permits online sports betting and various other products under its social and entertainment-games framework. This framework includes activities such as lotteries, raffles, mutual betting, and virtual games. However, the new regulation focuses specifically on online games of chance or fortune, a legal category that encompasses casino-style gambling. It will function under a separate concession framework distinct from that of physical casinos.

This initiative from the government arrives at a time when tax revenue from physical casinos is experiencing a decline. Data from the Ministry of Finance reveals that casino gaming tax collections plummeted to MZN359.5 million (approximately $5.6 million) in 2025, significantly below the budgeted MZN666.1 million, resulting in only 54% of the government’s target being met. This figure also represents a 7.3% decrease from the MZN387.7 million collected in 2024, during which the government had budgeted MZN1.235 billion and met only 34% of this target.

Officials attribute the revenue shortfall primarily to a notable uptick in online gambling, which has led to reduced patronage at physical casinos, as reported by RTP based on the Ministry’s budget execution data.

Economy Minister Basílio Muhate emphasized the importance of enforcement and transparency in the government’s approach following the regulatory approval. In a meeting on 31 July with representatives from the Mozambican Association of Online Games and Betting, Muhate underscored the government's commitment to combat illegal gambling and called for enhanced oversight. He reiterated that the General Inspectorate of Games (IGJ) is tasked with this supervision. "We continue to defend the fight against illegal gambling,” Muhate stated to O País. “We also reaffirm the need for greater inspection and greater transparency, which is why we have a General Inspectorate of Games with that responsibility."

Economist Júlio Saramala suggested that the IGJ should provide public access to its inspection criteria, annual reports, and supporting documents. He cautioned that high unemployment and lucrative messaging surrounding gambling could entice young people. Saramala argued that the social damage could surpass potential tax revenue benefits, advocating for coordinated legislation, clearer risk messaging in advertisements, and enhanced monitoring of financial transactions involving mobile wallets and banks.

Danilo Mussá, president of the Mozambican Association of Online Games and Betting, pointed out that the new framework could better equip authorities to address the issue of foreign betting sites targeting Mozambican consumers 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 explained to O País. He mentioned that citizens often use these offshore sites without utilizing local credit or debit cards, which means tax revenue is lost for Mozambique.

Mussá emphasized the association's intention to urge Mozambique’s National Institute of Information and Communication Technologies (INTIC) to impose restrictions on offshore sites. However, existing public reports do not clarify whether the new regulation grants INTIC explicit authority to block these sites.

While the approval of a dedicated online gambling framework marks a pivotal regulatory step, the details on licensing remain ambiguous. The government and the IGJ have yet to establish or disclose essential aspects, such as the cost of an online-gambling concession, applicable gaming tax rates, minimum capital requirements, application procedures, or the technical standards that future operators must meet.

Available material reviewed by iGaming Business did not provide a timetable for applications nor a clear path for prospective operators to follow. The IGJ has not addressed inquiries regarding when these key terms will be announced, or how it plans to oversee and manage licensing in practice. The overall impact of the new legal framework remains uncertain, hinging on how effectively the government implements a licensing and enforcement structure for this newly recognized segment of the gambling market.

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