iGaming operators in one of Africa’s most dynamic markets, Kenya face a scramble in the coming days in a bid to get the procurement of a new license over the line.
John Mutua, CEO of the Association of Gaming Operators Kenya (AGOK), insists there is no cause for alarm and the June 30th deadline remains feasible, adding that the Kenya Gambling Regulatory Authority (GRA) is working actively to ensure a smooth transfer.
The promulgation of the new Gambling Control Act 2025, which instituted the GRA to replace the Betting Control and Licensing Board (BCLB), abolished the old framework dating back to the 1960s, which the latter had worked.
Under the new act, modern forms of gambling such as online betting, gaming software provision, equipment manufacturing and nationwide prize promotions now require a set of specific licenses all depicted in the new provision.
The act stipulates that, whether for land-based or online, operators must secure licenses of specific categories tailored to the nature of the gambling product they offer, and no gambling activity may be conducted without a valid license issued by the GRA.
Mutua told iGaming Expert: “The GRA will duly provide the guidance on the process, and I’m confident on that.
“Yes, it is only a few days to the deadline but I’m 100% sure the GRA will give directions that ensures that there will be no vacuum on expiry of licenses.”
Mutua also clarified on reports that have suggested that only about 30 companies are actually operating gambling verticals despite no fewer than 100 holding online betting licences for the 2025/26 financial year.
Back in July 2019, the board had earlier cracked down on a number of operators, including refusal of license renewal in a row over tax breaches.
Most firms eventually returned, however, and the now defunct BCLB last year published a total of 99 recognized firms who are said to have been approved for licensing in the Kenya market.
“Companies in operation are more than 30. AGOK members only are more than that. Some of those who had acquired licenses before did it for speculation or were unable to get investors and also it is unclear why others hold licenses that are not operational,”Mutua said.
“The GCA 2025 addresses this directly and seeks to clean this up to allow for those who genuinely want to operate in the sector to have an enabling ecosystem to operate their business.”
Kenya’s new licensing requirements under GRA come with some bold recommendations and significant fee hikes, including a minimum capital of KSh100 million for foreign investors, while a minimum of 30% of shares from the firm must be held by Kenyan citizens, a cause said to support domestic participation in the regulated market.
Legal petition clouds Karimi’s GRA role
At the center of Kenya’s move to a more robust licensing ecosystem is a lingering court petition that questions the position of the new regulator’s leader, Peter Maina Karimi.
Earlier this year, Peter was appointed to oversee the new regulatory body, but have seen his new role come under stern scrutiny due to his previous role as a CEO with a licensed betting operator.
Karimi is said to be the founder of Acumen Communications Limited, which launched the mCHEZA betting platform in Kenya.
According to the act governing the eligibility requirements for the individual who will lead the GRA, any person(s) who has been in affiliation with a gambling company in any degree (director, employee, shareholder)cannot serve on the regulator’s board unless they had left the company at least five years earlier.
There is very little to suggest that the legal petition clouds Karimi’s GRA role is untenable at the moment but sources say his accusers point to his previous role at mCHEZA as a standout sticking point.
David Sarinke, partner at McKay Advocates told iGaming Expert: “Public officers are subject to minimum qualifications requirements which if not met, their appointment can be challenged in court.
“However, Karimi has contested the claim that he has been a director of a licensed entity five years prior to his appointment.”
When quizzed on what this could mean for operators who are braced for a new licensing regime under his administration, David added: “It will take time for the court to decide so it is expected it will take some time (could be 1 year or more) to determine.
“Usually in these circumstances, the person will remain in office until a finding is made that he shouldn’t be.
“If a court finding states he is illegally in office, this shouldn’t affect any corporate decisions of the GRA- as it is, he’s merely an executor/implementor of the decisions of the board, and the law cannot jeopardize operators who got licenses during the tenure.”
iGaming Expert had reached out to the regulator for comments, but none were forthcoming at the time of this report.
