Betting a survival strategy – 41% of low income earners in SA use it to make ends meet
Online sports betting is fuelling financial strain among low-income earners, with growing concerns about addiction, debt and the ease of access.
South Africa.- South Africans are wagering more than R1 trillion ($54bn) a year, with a jaw-dropping R700 billion ($37.8 bn) funnelled into sports betting alone. But this is not just about chasing thrills or backing your favourite team.
For many in South Africa, placing a bet has become less of a pastime and more of a survival strategy in a cash-strapped economy.
A staggering 41 per cent of low-income earners making between R8,000 and R15,000 (between $432 and $810) a month are hoping their luck will pay the bills, according to a news report on EyeWitness News.
In the radio interview, Matsaung Hollo, Senior Programme Manager at financial services provider Old Mutual warned that mobile and internet access had opened a dangerous door.
He pointed out that previously gambling meant heading out to a casino or betting shop at set times. But thanks to online platforms, the old rules have gone out the window. Now, anyone with a phone and internet can bet whenever and wherever they want, turning the casino into a 24/7 pocket-sized playground that never calls last orders.
“The challenge we’re facing here is the easy access as we can gamble at any time of the day. It can be prone to abuse and therefore create worrying trends,” Hollo said.
“While we can’t tell people what to do with their money, we can raise awareness about the risks of gambling and reckless gambling.”
He said South Africans had resorted to using gambling for some form of income augmentation. What some may see as a harmless pastime is, for others, a slippery slope, Hollo warned.
“It becomes a problem when it causes addictive behaviour and impacts on personal finance,” he said.
As the digital gambling industry booms, Hollo says it is time for a national reckoning and a serious push to educate the public about the risks.
