How Online Casinos Impact Kenya's Economy

The gambling industry has experienced steady growth over the past years worldwide. The African market is considered among the most prospective ones, and Kenya is one of the top three African gambling markets.

Several factors have contributed to the gambling industry's growth in Kenya, and many predictions say it will continue improving, with the government having taken note of the benefits of a regulated gambling market.

Kenya is quite supportive of online gambling activities, including online casinos and sportsbooks. In this article, we analyse the impact of legal online casinos in Kenya on the local economy.

How to find legal online casinos in Kenya

Although Kenya has a regulated online gambling market, some operators still run their platforms without licenses.

Kenyan casino sites need to fulfil several requirements and terms to offer their services to Kenyan players. First, they need to obtain license from the Betting Control and Licensing Board (BCLB). Although you might think finding legal Kenyan casino sites is hard or time-consuming, this page can help you spot legal online casinos in Kenya. Also, the e-Commerce and Online Gaming Regulation and Assurance should verify that the online casino is fair and safe to use.

Thanks to these regulations, Kenyan gamblers have plenty of safe and legal online casinos to play their favourite games at. You can rest assured that these online gambling platforms provide the required level of fairness for all games, and their gaming libraries are full of titles developed by the most respected game producers in the world.

Players can also load their accounts through safe payment processors, and they can find more than enough banking options available. Moreover, these online casinos implement strict technical procedures to keep your data secure, including personal and banking information.

If you are sceptical about online casinos in Kenya and their security, you should know that they are required to go through monthly audits by the BCLB. Therefore, they need to uphold the highest standards to meet all criteria for successful licensing.

The governing bodies monitor casino sites constantly and ratify that they are fair and safe to play at. Operators who accept players from Kenya need to adhere to strict rules to obtain and keep the license, and there's no reason for you to be worried about playing your favourite casino games at legal online casinos in Kenya.

The gambling market in Kenya

The Kenyan gambling market is one of the most developed in Africa and definitely in the top three, along with South Africa and Nigeria. It generates revenues of about $50 million and ranks third in gaming income in Africa.

Sports betting is the most popular way of gambling in Kenya. It contributes approximately $30 million in gambling revenue. Besides sports betting, Kenyan players can enjoy a wide range of casino games, such as:

• Roulette
• Online slots
• Blackjack
• Baccarat
• Poker.

A high rate of internet penetration, combined with the young Kenyan population, are good grounds for gambling industry development. Online gaming has become available anytime, and this has accelerated the growth of the Kenyan gambling industry. It is capitalised on technological improvements and is well prepared for the digital age.

Online casino games are accessible on smartphones, while more than 10 million Kenyans have mobile phones. Playing games at legal online casinos is now possible more than ever, and many Kenyans are in pursuit of a life-changing jackpot.

Making transactions has also become much easier, thanks to mobile money. Payment processors like MPesa are available for Kenyan players who want to load their accounts at online casinos. Also, they provide a very convenient way to withdraw winnings if you have been lucky enough. All payments are faster than ever, which boosts people’s interest in online casinos.

The economic impact of legal online casinos

Online gambling is very popular in Kenya, and the government has recognised the potential of this market. The first step toward realising economic benefits from online casinos is legislation and industry regulation. The government recognises how lucrative the online gambling industry is, and market regulation can help the state economy with additional revenues. Proceeds from online gambling activities in Kenya can be used to fund improvements in other sectors, such as education, infrastructure, and health.

Without a regulated market, Kenya would not boost its income, since players would play their favourite games on illegal offshore platforms. The state would lose a lot of money and miss the chance to put gambling proceeds into other sectors that need continuous investment.

Having a monitored market benefits both players and the economy. Players enjoy their gaming experience in a safe and secure environment. On the other hand, the state economy earns income, which can in turn accelerate growth in other sectors.

Tax regulations in Kenya

The gambling market generates millions of dollars in revenue each year. This trend will likely continue. Therefore, the authorities have set up tax regulations to collect their piece of the pie.

Winnings from gambling activities are taxed at 20 percent, while operators also pay turnover tax and net profit tax.

Tax rates in the Kenyan gambling industry are pretty high, and some of the reputable operators have decided to leave the market. Nevertheless, many big players are still on the stage, and they don't want to leave this thriving market. On the other hand, the government plans to collect as much revenue as possible. It is necessary to find a proper balance for the steady growth of the gambling sector in Kenya.

The future of legal online casinos in Kenya

Estimates say that the online gambling market in Kenya won’t experience a decrease. Facts that contribute to these conclusions are the high availability of the internet, the penetration of smartphones, and very high unemployment rates. In addition, Kenya has a young population, and the majority of players in online casinos are between 18 and 30 years old. Technology will continue to introduce new trends, and the gambling industry will definitely follow them.

On the other hand, the Kenyan economy also benefits a lot from the gambling industry. The government won’t stop gambling activities in Kenya, since tax proceeds are very important for the country’s economy. Therefore, we expect the big names in the industry to remain in the Kenyan market.

Conclusion

Legal online casinos have a significant impact on the Kenyan economy since their presence and lucrativeness generate notable revenues for the government. Moreover, this industry has attracted foreign investors as well, and that trend is likely to continue. Eventually, lucky players win high prizes, which can change their lives. If the tax rates don't increase enormously, the legal online casino market will continue to flourish in Kenya.