A study by iGamingAfrika and Sharp Vision has revealed a surge of betting engagement from young players in Kenya.
Seeking to gain a deeper understanding of the African gambling market and trends amongst players in the region, the study detailed that more than 70% of players utilised mobile as their preferred platform.
This comes as networks and connections in Africa have improved significantly in recent years – a major contribution to the potential growth of the gaming industry and elevating engagement from players in the region.
As well as this it was found that the younger generation of players are embracing gambling products with 50% of 18 to 35 year-olds stating that they had played some form of gambling in the past year.
Angela Mwelu Senior Vice President of Business Development Africa stated that the results mark “a transformative shift in the Kenya gambling landscape”, she emphasised that the trend needs to be harnessed to implement safer gambling protections and protect those most at risk.
The fragmentation of the African market presents regulatory challenges, however there have been developments within the Kenyan market as one of the more forward-thinking regions in the continent when it comes to gambling legislation.
This is fuelled largely by the looming approval of the Gambling Control Bill in the country, which was first touted in 2023.
Watershed moment for Kenya
Jeremiah Maangi iGaming AFRIKA also emphasised that the results pose “significant social implications on the country”. He added that collaboration between all parties can be at the heart of a safe sector.
There has been tension between the government and the gambling sector, after a key proposal by the Cabinet Secretary for National Treasury and Economic Planning, which outlined the potential economic benefits of increasing tax on betting in the region.
The plans outlined a potential rise from 12.5% to 15%, leading to a warning that these tax increases could have a negative impact on the prices for consumers.
It caused the industry to underpin the threat of the growing the black market as a result of the proposals, which would have a tightening effect on the regulated market.
Amplifying these concerns are other aspects of the bill, such as the potential to limit advertising from the gambling sector.
Importantly for the African market, it was also proposed that taxes on money transfer services could grow from 15% to 20%, further intensifying the pressure on the gambling operators in the area.
A potential increase follows efforts from the government to mount pressure on gambling as the treasury in Kenya previously implied it would raise the taxes from the industry in its previous budget, earlier in the year.
iGaming Expert Insight: With a growing number of young people engaging with gambling and mobile networks evolving to a place where they can accommodate an evolving industry, it has never been more crucial that regulators and the industry work closely to ensure that the framework doesn’t drive a new generation of players to the black market and those that are most vulnerable are also protected.
