Kenya proposes fresh licensing regime for gambling operators under new rules
Under the proposed bill, operators would no longer receive automatic licence renewals.
Kenya.- Kenya’s National Assembly is reviewing draft gambling regulations that would require all gambling operators to apply for new licences and introduce tighter controls on online betting products.
The regulations were presented to the National Assembly’s Committee on Delegated Legislation on Tuesday, June 9, by officials from the newly established Gambling Regulatory Authority (GRA).
Under the proposed bill, operators would no longer receive automatic licence renewals. Instead, all licence holders would be required to submit fresh applications under a new regulatory framework. Separate licences would also be introduced for bookmakers, casinos, and lottery operators.
The draft regulations also target online gambling activities, including crash games. Regulators told the committee that such products would face additional oversight due to concerns over their growing popularity and potential impact on gambling behaviour.
Geoffrey Ruku, public service cabinet secretary, said that while the gambling industry generates about KSh14bn (US$108.5m) in annual government revenue, stronger regulation was needed to address gambling-related harm. He also pointed to cases of financial hardship linked to gambling addiction, including bankruptcies and property auctions.
Lawmakers, however, questioned several provisions in the draft rules, including proposed “fit and proper” requirements for licence applicants. Julius Sunkuli, committee member, said the criteria should be clearly defined to avoid subjective decision-making by regulators.
Members also raised concerns about proposed capital requirements for operators, warning that high thresholds could make it difficult for legitimate businesses to enter the market.
Another issue discussed was a proposal to restrict gambling advertising during certain hours and strengthen controls on marketing practices that could present gambling products as investment opportunities.
Lawmakers also sought clarification on measures to prevent underage gambling and questioned a proposal requiring applicants to submit audited financial statements covering the previous two years. Robert Mbui, committee member, argued that the requirement could exclude new operators that do not have an established operating history.
The committee is expected to continue reviewing the regulations this week before the current transition period expires on June 30.
Once implemented, the GRA plans to introduce a central monitoring system designed to identify signs of problem gambling and support interventions such as account suspension and counselling referrals.