Backlash remains rife concerning the impact of Nigeria’s Central Gaming Bill and its touted regulatory impact on the country’s gambling sector.
According to reports, there is concern amongst stakeholders over the bill diluting the control of the lottery from the state, leading to a petition being put forward pursuing the rejection of the bill.
Pursuit of the rejection of the bill largely comes from the Federation of States Gaming Regulators of Nigeria (FSGRN), underpinning major concerns over the way the establishment of a Central Commission would have on fiscal federalism in Nigeria.
The petition is aiming to ensure that a central regulator can’t provide state licenses to operators, ensuring that this remains the responsibility of the state.
Nonetheless, the government has continually put forward the case that because iGaming crosses borders this should be the role of a universal operators.
The protection of state revenue is also integral to the bill, with fears it would be lost in the result of the formation of a nationwide commission.
The petition is calling for the nationwide governmental regulation to only oversee the FCT, which is where Abuja is located.
Rallying against the bill, the case has been put forward that it is unconstitutional and simply doesn’t align with the country’s federal system.
However, no matter how fervent and vocal opposition to the bill is, it may well be futile as the Bill has already progressed beyond its third reading in the National Assembly.
There is still a level convolution to its progress though, which will provide state regulators with optimism that it can be halted with enough friction.
In likely next steps for it to be formalised, the Senate must review and vote on the Bill, where they will have the option to make adjustments.
Proponents of the bill have argued that it can eradicate growth of illicit operations and boost efficiency within the licensing process.
The dispute lands at a time when the Nigerian gambling industry rides a wave of momentum in terms of engagement and traffic.
Driven by youth and fintech tapping into the gambling industry, it was recently predicted that Nigeria’s iGaming sector is set to grow by 16% and hit NGN $500m in revenue by the end of the year.
The Lagos State Lotteries and Gaming Authority emphasised that this has been significantly accelerated by the growth of mobile tech in the country.
Major operators in the country, such as Betway, NairaBET, Bet9ja, 22Bet, and 1xBet, have all seen positive growth through fintech collaborations, utilising mobile wallets to elevate the user experience for gambling.
