It was reported this week that Kenya has increased gambling taxes after growing fears over gambling proliferations.
Gambling operators in Kenya were probably upset after the government made Kenyan gambling news by announcing they are increasing taxes. The new finance bill will require sports betting firms to pay 7.5% of their net revenue every year, gaming companies will pay 12%, and lottery companies in Kenya will need to pay 5%. The bill will come into effect as early as next week.
The news that Kenya has increased taxes for gambling operators is not entirely surprising. The government has become concerned over gambling proliferation over the past few years, and many within parliament felt the government was not getting a fair cut of what is a very profitable business.
Kenya has been one of the most accepting countries in Africa when it comes to online gambling. One of the first domestic betting websites in Africa started here in 2011, and a number of sites have since been created inside the country.
Mobile Gaming in Kenya Continues to Thrive
For years, the most profitable form of gambling in Kenya has been in the mobile industry. It seems to have taken an even more dramatic increase in 2016, as the Central Bank of Kenya reported money sent through mobile platforms increased by one-fifth over the first half of 2016.
Adil El Youseffi, the CEO of Airtel Kenya, told media that betting transfers made up the majority of his companies transactions, especially during major sporting events. There are a number of domestic mobile casinos in Kenya, as well as a large number of foreign mobile casinos that Kenyans can access.
What do you think of the news that Kenya has increased taxes on gambling operators? Will it hurt the gambling industry inside the country? Tell us what you think by leaving a comment below!