The African Goldrush: Market Landscape, Regulation, and Strategic Outlook - January 2026 Update

Executive Summary

Africa’s iGaming and sports betting sector has experienced unprecedented growth throughout 2025, emerging as a global hotspot for expansion. Key markets such as Nigeria, South Africa, Kenya, Ghana, and Tanzania are driving this boom, buoyed by youthful populations and mobile-first innovation. Nigeria and South Africa lead in scale – Nigeria’s online gambling revenue alone is projected around $500 million in 2025 (up from ~$400m in 2023), while South Africa’s total gambling GGR reached R75 billion (~$4.3 billion) in FY2024/25. Mobile technology and fintech (e.g. M-Pesa, Flutterwave, Paystack) have leapfrogged legacy infrastructure, enabling broad access to betting services. Demographics skew young (majority 18–35 years old) and fanatically sports-centric (English Premier League, UEFA, and local football leagues dominate betting slips).

Regulatory regimes are diverse and fragmented across the continent – from relatively open licensing in Kenya and Ghana to strict monopolies in countries like the Ivory Coast and Democratic Republic of Congo. This patchwork creates both opportunities and challenges. On one hand, progressive regulators (e.g. Kenya’s BCLB, Ghana’s Gaming Commission) have attracted investment by formalising online betting. On the other hand, inconsistent rules and enforcement gaps (especially in parts of West and Central Africa) allow unlicensed operators to thrive, complicating market entry for compliant firms. Taxation is similarly varied, with some governments repeatedly tweaking rates – Kenya, for example, has swung from high excise taxes on stakes to recent cuts (down to 5% in 2025) to stimulate the industry. Such volatility underscores the need for careful navigation of local policy.

Africa’s tech-savvy youth and mobile penetration (94% of bettors use phones) have made the region a mobile-first iGaming arena. Many operators report >80–90% of bets via mobile devices, often through lightweight apps, USSD menus, and mobile money wallets. This digital leapfrogging, combined with a cultural passion for sports, has propelled Africa’s betting turnover growth to 17% annually, the fastest in the world. An estimated 440 million Africans were actively betting on sports by early 2025. However, along with the gold rush come significant challenges: regulatory uncertainty, fraud risks, patchy broadband and electricity infrastructure, and concerns about problem gambling. Taxation policies remain a double-edged sword – while governments seek revenue from the booming sector (e.g. Kenya collected ~KSh100 billion in gambling taxes since 2018), abrupt tax hikes or bans have at times driven players and operators underground.

Strategically, success in African iGaming will require localisation, partnerships, and responsible growth. Operators are increasingly tailoring products to local tastes (from jackpot parlays on local leagues to betting interfaces in Swahili and Hausa). Many partner with local agents, media, and even telecom firms to extend their reach. Responsible gaming is still nascent but rising on the agenda, with regulators like South Africa’s NGB and provinces launching awareness campaigns and player protection measures. Going forward, Africa is cementing its global relevance in iGaming – not only as a high-growth market but as an innovation hub for mobile betting solutions. In the next few years, expect more international investment, cross-border collaborations, and perhaps moves toward regulatory harmonisation. Africa’s gaming boom is poised to continue, making the continent an integral part of the industry’s future.

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