Ghana’s Lottery Authority cracks down on lotto commission payments
The National Lottery Authority has ordered all Lotto Marketing Companies (LMCs), Private Lotto Operators (PLOs), licensees, and collaborators to comply strictly with the approved 25 per cent commission rate. The directive comes as concerns grow about some operators paying retailers and agents commissions above the approved threshold through bonuses, incentives and promotional packages.
In a statement signed by management, the Authority stated that any commission payment above the approved 25 per cent rate is illegal. The regulator explained that retailer-related compensation remains under its direct oversight, regardless of how payments are structured.
According to the NLA, some operators claimed that the extra payments were incentives to boost sales. However, the Authority found that these arrangements continued to qualify as commission payments.
NLA cites National Lotto Act
The NLA said the directive was supported by the legal provision in Section 28 of the National Lotto Act, 2006 (Act 722). The NLA Governing Board is charged with setting commission payments for Lotto Marketing Companies and retailers as required by law.
The current 25 per cent commission structure took effect in August 2024 and comes amid wider regulatory scrutiny surrounding the NLA’s commercial partnerships and governance framework. Earlier this year, Ghana’s Presidency confirmed that the NLA acted within its legal mandate in its partnership agreement with KGL Technology Limited, following public debate over the arrangement.
According to reporting by SiGMA News, the Presidency recommended renegotiating aspects of the agreement to improve the state’s revenue share and strengthen oversight mechanisms. The development highlighted increasing pressure on Ghana’s lottery regulator to reinforce transparency, accountability, and operational control across the sector.
Operators to stop excess lotto commission payments
The NLA instructed all operators to submit proposed bonuses, incentive packages, and promotional schemes for review before implementation. All other compensation arrangements now require prior written approval, the Authority said. The directive covers Lotto Marketing Companies, Private Lotto Operators, licensees, and collaborators operating in Ghana’s lottery sector.
Risk of sanctions for non-compliance
The NLA warned of severe sanctions for operators not complying with the directive. Possible penalties include suspension or revocation of operating licences. The Authority said the measures would ensure fairness, transparency, discipline, and long-term sustainability in Ghana’s lottery industry. The regulator also called on all stakeholders to work together in safeguarding the integrity of the sector.
The directive also forms part of the NLA’s broader initiative to digitise Ghana’s lottery industry. Earlier this month, NLA Director-General Mohammed Abdul-Salam confirmed the lottery will transition to fully electronic sales systems by the third quarter of 2026. The Authority said the move is intended to improve oversight, enhance transaction monitoring and reduce opportunities for unauthorised operators.
The NLA said that the digital systems will enhance accountability and bring lottery operations under one monitoring framework. “There are operators who are operating a hybrid of both the post machines and paper-to-pen lotteries. We have arrangements in place in those contracts to end that within the third quarter of 2026 so that we can go fully technological and ensure that every sale of lottery is done through only electronic means,” Abdul-Salam said. The Authority believes that a stringent regulatory framework and digital monitoring will encourage long-term transparency in the country’s lottery market.
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