*Botswana’s illegal gambling market reaches P500 million
*Underage gamblers flood offshore sites as rogue market surges
Botswana is grappling with a gambling surge that is now moving faster outside the rules than within the legal framework.
A new study by the Gambling Authority (GA) and the University of Botswana has established that unlicensed betting has reached P500 million, making it twice the size of the legal market.
The findings were presented by the GA’s Acting Chief Executive Officer, Moruntshi Kemorwale, at the Botswana Economic Forum, where he highlighted the rapid expansion of the Botswana gambling industry and the need to crack down on unlicensed betting operators.
“We did some research with the University of Botswana and found that now the illegal gambling market has grown. This means that the unregulated gambling market is twice the value of the regulated one. For younger players, these platforms often feel more convenient and more rewarding than regulated options. The problem is that they operate without oversight. There are no rules for fair play, no responsible gambling tools and no checks to stop minors from signing up,” Kemorwale said, adding that the only solution is to bring unlicensed sites into the legal system, turning them into monitored operators instead of leaving them outside the framework.
Kemorwale says this will help government recover lost revenue and create safer conditions for players.
Following the Gambling Authority’s licensing of online sports betting operators earlier this year; the country witnessed a notable rise in gambling activities, especially among younger demographics.
Botswana has around 550,000 active bettors, yet only 220,000 use licensed operators. The rest turn to offshore websites that offer fast mobile payments, easy access and bigger bonuses.
The country’s betting boom is also visible in regional results.
Betway’s parent company Super Group reported $646 million in African revenue between January and September, driven in part by strong activity in Botswana.
Even with this growth, the regulated sector is still being outrun. Bettors often say payouts feel lower locally, and strict rules sometimes push them towards offshore alternatives.
For now, Botswana is balancing two markets. One follows the rules and the other ignores them.
The challenge ahead is guiding more players back into the regulated space before the gap grows any wider.
However, despite the popularity of regulated wagering options, many bettors, including a growing number of minors, are drawn to offshore platforms, which operate outside of the country’s regulatory framework.
“Bringing illegal betting platforms under regulatory oversight will not only increase government revenue but will also ensure a safer betting environment for citizens, ultimately contributing to the industry’s long-term sustainability. A regulated gaming environment has the potential to create jobs. More Botswana investors should capitalise on the industry’s opportunities by applying for licences to operate revenue-generating activities such as limited payout machines, SMS competitions and virtual digital games,” said Kemorwale highlighting that regulated gambling is a potential catalyst for economic growth.
This year alone the global gaming industry is expected to generate $188 billion therefore it will be imperative for Botswana to position itself to capture a share of this market through responsible gaming regulation.
