Sports betting in Africa: A multi-billion dollar market caught between economic opportunities and the risks of addiction

Written by: Mohammed Omran

The sports betting industry in Africa is experiencing rapid growth, driven by the widespread use of smartphones and the increasing popularity of digital platforms, making it one of the fastest-growing sectors in the continent's digital economy.

Smartphones are driving the digital betting boom in the continent.

According to a Business Africa report, the value of the sports betting market in Africa reached approximately $1.85 billion during 2024, and is expected to exceed $3.6 billion by 2029, with a growth rate approaching 95% in just five years.

Nearly 400 million Africans regularly participate in this market, with about 100 million people using licensed betting platforms. Mobile betting accounts for the largest share of activity, with 941,000 users relying on smartphones to place their bets.

400 million Africans participate in the betting market

Nigeria tops the list of the continent's largest sports betting markets, followed by South Africa, Kenya, Uganda, Tanzania and Ghana, benefiting from the rapid expansion of internet services and electronic payment.

Despite the economic opportunities, investments, tax revenues, and new job opportunities that this industry provides, it simultaneously raises increasing concerns about consumer protection and the risks of addiction and irresponsible gambling, especially among young people.

In another economic context, Zambia continues to implement an innovative development finance strategy, supported by the African Development Bank and copper sector revenues, having successfully completed an early buyback of more than $1 billion of its sovereign debt.

This move is expected to save about $275 million in debt service costs over the next fifteen years, with these savings to be directed towards developing the national electricity grid, as about half of the country's population continues to suffer from poor access to electricity services.

This initiative is the first global model for debt-for-development swapping, which could make it a viable experiment for other African countries facing high debt burdens.

As part of efforts to strengthen international economic partnerships, the European Union and the four Indian Ocean countries – Comoros, Madagascar, Mauritius and Seychelles – concluded negotiations on an enhanced economic partnership agreement, the first of its kind with sub-Saharan African countries.

The agreement aims to support trade and investment and expand cooperation in the areas of digital economy, services, public procurement and intellectual property, thereby contributing to strengthening economic integration between the two sides.

The European Union is the largest trading partner of the four island nations, with trade between the two sides reaching approximately 9.7 billion euros in 2024, reflecting the growing economic ties between Europe and the Indian Ocean region.

Conversely, calls are growing in several African countries for stricter regulations on betting companies, including tighter licensing requirements, restrictions on advertising targeting minors, and enhanced gambling awareness programs. Experts warn that the lack of effective oversight could transform this economic boom into a long-term social crisis, particularly given the high youth unemployment rates.

Analysts also point out that the expansion of digital betting is closely linked to the spread of electronic payment methods and mobile financial services, which has made access to these platforms easier than ever before.

The sector is expected to see further growth in the coming years, but it will remain a subject of debate between being seen as an opportunity to boost the digital economy in the continent, and as a source of social and health risks that require balanced government intervention.