Developments Relating Gambling and Gaming Activities in Kenya – May 2025

1. Amendment of the Betting, Lotteries and Gaming Act, Chapter 31 of the Laws of Kenya (BLGA)

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Kenya was placed on the Financial Action Task Force’s grey list in February 2024 due to deficiencies in the country’s efforts to combat money laundering, terrorism financing and proliferation financing. In response, Kenya, on 16th April 2025, passed into law the Anti-Money Laundering and Combating of Terrorism Financing Laws (Amendment) Act 2025.

The new law amends the BLGA by empowering the Betting Control and Licensing Board (BCLB) to supervise entities falling within its jurisdiction to enforce compliance with anti-money laundering, anti-terrorism financing and anti-proliferation financing laws. In execution of this mandate, the BCLB has been empowered to vet proposed significant shareholders and beneficial owners of gambling operators, conduct on-site inspections of gambling premises, conduct off-site surveillance of gambling operators, impose monetary and administrative sanctions for violations related to money laundering, terrorism financing and proliferation financing by gambling operators and issue regulations, guidelines, directions, rules and instructions to combat money laundering, terrorism financing and proliferation financing.

Additionally, the new law prescribes penalties for money laundering, terrorism financing and proliferation financing-related violations by gambling operators and their officials.

2. Advertisement of Gambling and Gaming Activities

Advertisement by players in Kenya’s gambling industry has long been a bone of contention as highlighted in our previous update. The BCLB attempted to streamline gambling advertisements through the Advertising Guidelines issued in July 2021 and subsequently through the ban of gaming and gambling advertisements between 5:00 am and 10:00pm (the watershed period) in September 2021. In addition, the Communications Authority of Kenya (CAK) also issued a directive in September 2021 prohibiting broadcasting stations from airing gambling advertisements during the watershed period.

The above notwithstanding, both gambling operators and advertising agencies have continued to flaunt BCLB’s directives, especially with respect to the airing of gambling adverts during the watershed period.

In its latest effort to regulate gambling adverts, the BCLB on 29th April 2025 issued a directive suspending all gambling activities for a period of 30 days. The decision was informed by the increased promotion of gambling as a legitimate investment opportunity and shortcut to wealth creation and the rampant airing of gambling adverts during the watershed period. During the period of suspension, BCLB ordered all licensed gambling operators to:

(i) submit all gambling adverts to the Kenya Film Classification Board for examination, classification and issuance of a certificate of approval;

(ii) ensure compliance with all laws and regulations on gambling adverts in Kenya; and

(iii) implement measures to promote responsible gambling.

In addition, the BCLB recommended that:

(i) the National Assembly expedites the enactment of the Gambling Control Bill 2023 (the Gambling Bill);

(ii) the Media Council of Kenya finalises and operationalises new guidelines to replace the now unconstitutional programming code;

(iii) members of the public lodge complaints against gambling operators with the BCLB or the police in the event of violations;

(iv) the CAK implements measures to block or deactivate all foreign unlicensed gambling websites operating in Kenya.

Finally, the BCLB announced the formation of a multi-agency enforcement team comprised of representatives from the Ministry of Interior, Office of the Attorney General, the CAK, Kenya Revenue Authority, the Police, Kenya Film Classification Board, Media Council of Kenya, Financial Reporting Centre; and the BCLB to formulate strategic interventions, policy recommendations and enforcement mechanisms to advance responsible gambling practices in Kenya.

3. Ban on Illegal Betting Websites

In a move sparked by complaints from concerned citizens over exploitation by various gambling operators, the BCLB announced the immediate shutdown of 58 gambling platforms which had been operating without approval from the BCLB and in contravention of the gaming regulations set by the BCLB.

4. The Gambling Bill

Parliament is currently considering the Gambling Bill which, if enacted, will replace the BGLA. The Gambling Bill was passed by the National Assembly in December 2023 and subsequently passed with amendments by Senate in October 2024, which the National Assembly rejected in January 2025. Consequently, the Gambling Bill was referred to a Mediation Committee pursuant to Article 113 of the Constitution.

Some of the key highlights of the Gambling Bill include:

a) Establishment of the Gambling Regulatory Authority: the Gambling Bill establishes the Gambling Regulatory Authority (the Authority) as the successor of the BCLB.

b) Requirements for licensing: the Gambling Bill proposes to restrict issuance of licenses for gambling activities only to entities which meet the following criteria:

(i) a minimum of 30% of the entity’s shares being held by Kenyan Citizens; and

(ii) the entity having an account with an authorised financial institution registered in Kenya, into which all proceeds obtained from licensed gambling activities will be paid.

c) Expanded scope of licensing: manufacturers, testers, sellers, distributors of gambling equipment, key gambling employees, providers of gambling software or platforms and even persons engaged in non-gambling activities within premises used for gambling will also require licensing from the Authority.

d) Regulation of Online Gambling: persons desiring to operate, sell or promote online gambling in Kenya will be required to apply for an online bookmaker’s license, an online lottery license or an online casino license from the Authority.

e) Regulation of gambling advertisements: gambling adverts will henceforth be required to provide for the addictive nature of gambling; notify players to play responsibly; prohibit children from playing; not be featured or broadcasted on television or radio between 6 am and 10 pm unless during a live sporting event; not be erected on an advertisement billboard in close proximity to a learning institution; dedicate 20% of aired advertisement towards promotion of responsible gambling; amongst other requirements.

f) Dispute Resolution: the Gambling Bill establishes the Gaming Appeals Tribunal to hear and determine disputes arising out of gambling activities.

We shall continue to monitor the same and their effects on the industry and issue regular updates.

Please note that this is not legal advice and is intended primarily for information purposes. If you require tailored advice or further information, please contact us on sarinke@mckayadvocates.com.