By Mercy Imali
MPs have really stepped up in their bid to discourage the betting craze. A new law proposes introducing tough tax measures and minimum bets to regulate the industry.
The Gaming Bill 2019, published Tuesday, sets hefty licensing fees for companies seeking to set up base in Kenya and has raised the minimum amount of a bet.
Betting firms are now required to pay Sh100 million for gaming securities, on top of an annual license fee of KSh30 million. This cushions gamblers should the betting firms refuse to pay a ‘windfall’
Currently, betting firms pay a KSh1 million application fee, KSh3 million license fee, KSh500, 000 annual license and Sh25, 000 for license renewal.
The new strategy also hopes to reduce the number of young gamblers, by proposing that the minimum bet is KSh50. At the moment, it is possible to bet with KSh1 through some betting firms such as BetPawa.
The Bill, due to be tabled when Parliament reconvenes next week, will further restrict Kenyans’ access to foreign gaming sites. It also aims at retaining cash within the Kenyan economy, instead of giving it away to foreign firms.
The Bill would allow Kenyans to own 30 per cent of the gaming industry by taking up shares in firms operating in the country.
If passed, the law would repeal the Betting, Lotteries and Gaming Act, which was enacted in 1966, on grounds the existing law is outdated.
The Bill, which is due for its First Reading, proposes the establishment of The National Gambling Authority, The National Lottery Trust Fund and the Gaming Appeals Tribunal.
The government has suffered crippling setbacks in its attempts to introduce stringent measures to control gambling, especially among the youths.
On Tuesday, the High Court declared unconstitutional a proposal by the government to ban outdoor, electronic and online advertising of gaming.