Kenya’s new Gambling Regulatory Authority pushes for bigger role in betting revenues managed by KRA
Kenya’s new gambling regulator is exploring plans to retain or manage betting revenues currently handled by the Kenya Revenue Authority as oversight of the rapidly growing sector tightens.
Kenya.- Kenya’s newly established Gambling Regulatory Authority (GRA) is seeking a larger role in overseeing revenues generated by the country’s betting industry, which are currently handled by the Kenya Revenue Authority (KRA).
The authority formally assumed regulatory responsibilities from the former Betting Control and Licensing Board (BCLB) on February 28, 2026, marking a significant shift in Kenya’s gambling oversight framework as the new regulator moves to strengthen control of the country’s rapidly expanding betting sector.
GRA Director General, Peter Karimi, said officials are exploring a framework that would allow the GRA to “retain or directly manage some of the revenue collected from betting and lottery operators” instead of the funds being fully handled by the KRA.
Appearing before the National Assembly’s Administration and Internal Security Committee, Karimi said the proposal forms part of a broader effort to strengthen oversight of the gambling sector and ensure the industry contributes more to economic development and social programmes.
Karimi, who assumed office just weeks ago, told lawmakers that the newly established regulator is transitioning from the former BCLB into a fully-fledged state corporation with expanded regulatory powers.
“The first thing is to protect Kenyans and give them comfort that the industry is now under extremely tight regulation,” Karimi told the committee.
He said the authority must quickly build the institutional capacity needed to regulate an industry that is expanding rapidly, particularly in the online space.
Surging betting revenues
The move comes as Kenya’s gambling market continues to grow, driven by mobile betting platforms, aggressive marketing and a young digital population. KRA data for the period to August 2025 shows a 117.2 per cent increase in excise duty collection from betting services during the 2024-2025 financial year, exceeding the target of Sh11.288bn (€75.6m).
Excise duty from betting services rose to Sh13.233bn (€88.7m) in the 2024-2025 financial year from Sh10.598bn (€71.0m) collected in the previous financial year. During the same period, Betting Tax also exceeded its target after reaching Sh5.70bn (€38.2m) against Sh5.495bn (€36.8m), reflecting a performance rate of 103.7 per cent and growth of 22.0 per cent.
Karimi told the committee that the sector’s rapid expansion has raised concerns around consumer protection, tax compliance and the potential misuse of gambling platforms for illicit financial flows.
