The Kenyan online gambling market is the largest in Africa, especially when it’s predicted to have a market value of nearly $100 million in 2024. It has an excellent regulatory framework overseen by the Betting and Control and Licensing Board (BCLB) and some thrilling online casinos that you can find on KenyaOnlineCasino.
However, even with its wide range of offerings and success, the online gambling industry in Kenya does come with its challenges. But what are these roadblocks it faces, and how can they be overcome with the right strategies?
Socio-economic Challenges
It is true that the future of Kenyan online casinos depends a lot on its socio-economic challenges and how they overcome them. Here are some of the main issues on the gambling scene right now:
Internet Accessibility and Reliability
For players to be able to enjoy the benefits of gambling at the best online casino, they need a stable internet connection. However, some find it too expensive to use. Kenyans pay, on average, $0.59 for every gigabyte of data, and while this isn’t the most expensive in the world, it isn’t the most affordable either.
Similarly, according to statistics, only 40.8% of Kenyans have access to the internet. This is less than half the population, meaning there is a much larger market to be tapped into if they had the access required to use casino online Kenya websites.
Underage Gambling
One of the biggest problems for a while now in Kenya is that the younger generation is starting to be enticed by the thrill of gambling and online casinos. However, this is leading to a rise in gambling at an age before the act is even legal and leaving young people bankrupt before they can even start their lives. However, the Kenya Gambling Control Bill is looking to combat this issue.
Consumer Spending
A third socio-economic cha
llenge that needs to be addressed is the amount Kenyan citizens spend on online gambling. With the revenue of the online gambling market set to be at an all-time high this year and the average user only receiving just over $300, people are spending a lot more than they are getting back. This hints at a gambling addiction epidemic that needs to be brought under control.
Legal challenges
Just like any other industry, gambling has legal issues that need to be addressed. It is a controversial sector, and therefore, strong regulations and laws are needed, which brings a wide range of challenges.
Regulatory Framework
In Kenya, there is the Betting, Lotteries, and Gaming Act, which is overseen by the Betting Control and Licensing Board (BCLB). For a reliable online casino to operate legally in the country, it needs to apply for a license with this authority and comply with regulations. However, unfortunately, there is still a wide range of online casinos popping up without a license and not following the law like the trustworthy sites.
Fraud and Cybersecurity
Feeding off the previous legal challenge, when there’s a Kenya online casino that doesn’t have a license, it opens up a bigger risk of fraud and security breaches. Since no regulations are being followed, the owners of the platform are likely to steal players’ money and also release their personal data to third parties. They also don’t likely have strong cybersecurity in place, making them more vulnerable to breaches.
Broader Impacts and Stakeholder Responses
One of the broader impacts of the socio-economic challenges, which we have already touched upon, is the emergence of gambling addictions. While there may not be internet access for everyone, those who do have it are exposed to underage gambling and overspending. This can lead to a proper problem, and without the right regulations, the addiction can get out of control without any resources to try and help it.
While these will always be challenges, the Kenyan government and stakeholders are trying to make a difference and prevent the opportunity of addiction. For example, in 2019, the government banned gambling-related advertisements between 6 a.m. and 10 p.m., as well as celebrity endorsements of the act. Similarly, as mentioned earlier, there is the Kenya Gambling Control bill that is currently on its way to being passed.
Future Outlook and Strategic Recommendations
So, what other strategies can the government and stakeholders implement to battle these challenges and improve the industry’s future outlook? First, online gambling operators need to implement more tools, such as self-exclusion and betting limits, to help manage addiction on their sites.
Similarly, collaboration between the government, the private sector of online gambling, and NGOs is needed to devise policies that work for everyone. Everyone still wants the industry to thrive and bring in high revenue for the country, but they also need to look after the well-being of their people.
