Betting firms will be barred from using influential personalities and past winners of large prize money, or face fines of up to Sh20 million, under proposed changes aimed at curbing the gambling craze.
They will also be banned from depicting betting as a source of income or associating gambling with success, according to the Gambling Control (Advertising) Regulations, 2026. The rules seek to rein in advertisements that lure Kenyans into betting with the promise of quick money or financial gain.
Those found in breach of the regulations face a fine not exceeding Sh20 million, imprisonment for a term not exceeding 20 years, or both.
A gambling craze, mainly among the youth and the unemployed, has forced the State to tighten regulatory checks alongside steep taxation on both punters and firms.
Ad crackdown
‘The objective of these regulations is to protect minors and other vulnerable persons from being targets of gambling activity advertisements and maintain ethical standards and the integrity of the gambling industry,’ the Gaming Regulatory Authority of Kenya (GRAK) says.
The popularity of gambling has surged in recent years in Kenya, driven by unemployment, which has pushed many individuals to seek alternative income streams, as well as increased internet penetration and mobile telephony.
A joint report by the Central Bank of Kenya and the Kenya National Bureau of Statistics shows that an estimated 40.4 percent of Kenyans aged between 18 and 45 years are actively betting.
The report further shows that they spend an average of Sh1,845 a month on betting, eating into their earnings and plunging some into debt.
Kenya has one of the highest shares of youth engaged in betting in Africa, with an estimated 76 percent participating.
Cost pressure
Tightening the noose on betting advertisements is seen as key to reducing the sector’s appeal, even as the government eyes additional measures to make operations costly for firms.
The State has proposed a new licence for key staff at all betting firms. Foreigners in such positions will pay Sh300,000, while Kenyans will pay Sh50,000.
Additionally, foreign shareholders or directors will pay Sh300,000 for a licence, while locals will part with Sh100,000.
If adopted, the licences will add to the operational costs facing betting firms, which already shoulder heavy tax obligations.
Currently, betting firms pay a 15 percent tax on gross gaming revenue, a corporate tax of 30 percent on profits, and income tax at a rate of 16 percent. They are required to remit the taxes daily by 1am.
Gamblers, on the other hand, pay an excise tax of 15 percent on every betting stake and a further 20 percent withholding tax on winnings.