Free State backs clearer online gambling rules in South Africa
South Africa’s gambling regulators are under pressure to respond to a fast-moving online market. In the Free State, the provincial regulator has warned that illegal digital operators, uneven rules and new gambling products are testing the limits of the current system.
In an interview with SiGMA News, Obakeng Seseane, Acting Chief Executive Officer of the Free State Gambling, Liquor and Tourism Authority, said compliance, governance and public engagement would be central to the regulator’s work over the coming years.
“As Acting CEO of the Free State Gambling, Liquor and Tourism Authority, my key priorities are to strengthen regulatory compliance in the gambling and liquor sectors, enhance stakeholder engagement, and ensure the Authority delivers efficient and transparent services to the public,” Seseane said.
The FSGLTA, which regulates gambling and liquor in the Free State and is also responsible for tourism promotion, said it wanted to support tourism, improve organisational performance and use partnerships to contribute to “economic growth, job creation, and responsible industry development across the Free State”.
Illegal operators remain a central concern
South Africa is still debating how far online gambling reform should go. Online sports betting is permitted through licensed operators, while regulators have warned that other online casino-style and interactive products remain unlawful under national legislation, despite continued disputes over how some products are classified.
Asked about the most significant regulatory challenges facing the sector, Seseane pointed to “the growth of illegal and unlicensed gambling activities, particularly online platforms that operate outside the country’s regulatory framework”.
He also cited responsible gambling, vulnerable consumers, money laundering, illicit financial flows and technological change as pressure points for regulators.
The National Gambling Board, which oversees South Africa’s gambling sector at national level, said in its 2024/25 annual report that the industry generated ZAR74.9bn (about $4.5bn) in Gross Gambling Revenue, with betting accounting for 70 per cent of GGR. The report also warned that “the slow pace of legislative reform continues to hamper regulators”.
A Remote Gambling Bill introduced in Parliament in 2024 proposes a framework for licensing and regulating remote gambling, although it has not been passed into law. If passed, the Bill would give provincial licensing authorities a formal role in remote gambling licensing and oversight.
The Bill provides for applications to be made to provincial licensing authorities, while also setting national norms and standards.
Keeping growth within the rules
Seseane rejected the idea that gambling regulation should be framed simply as either prohibition or unfettered expansion.
“Effective gambling regulation is not about prohibiting lawful gambling activities, nor is it about pursuing growth at any cost,” he said.
His preferred approach is a licensed market supported by “robust licensing, compliance monitoring, consumer protection, and responsible gambling measures”.
That balance is becoming harder to maintain as technology changes the industry. Digital betting, fintech-enabled gambling and prediction markets, where users may stake money on political, economic, sporting or cultural outcomes, are forcing regulators to ask whether existing laws can still do the job.
“South Africa’s regulatory framework must remain adaptive to ensure that innovation does not outpace oversight,” Seseane said.
He added that cooperation between national and provincial regulators, policymakers, industry and technology providers would be needed to decide whether existing legislation remains “fit for purpose”.
Seseane said an effective remote gambling framework would need “clear licensing requirements, robust player protection measures, strong anti-money laundering controls, and effective monitoring of operator compliance”.
He also called for age verification, data security, responsible gambling interventions and rules on advertising and marketing.
A call for harmonisation
South Africa’s gambling system is split between national policy and provincial enforcement. Seseane said the model has clear strengths because it allows regulators to respond to local conditions but warned that differences between provinces can create complexity.
“Greater harmonisation would be most beneficial in areas such as licensing standards, compliance requirements, responsible gambling measures, technology regulation, and information sharing,” he said.
Seseane also argued that international platforms such as SiGMA could support the market by bringing together regulators, investors and technology companies.
For now, the central question remains how quickly South Africa can bring law, enforcement and consumer protection into line with the digital market already taking shape.
As Seseane put it: “Our approach is to support responsible innovation while ensuring that consumer protection and regulatory integrity remain paramount.”
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