Kenya’s Gambling Regulatory Authority targets licensing overhaul
Kenya’s gambling sector is set for significant changes under the newly formed Gambling Regulatory Authority (GRA). The authority plans a more robust licensing and monitoring regime ahead of a key deadline in June 2026.
The GRA formally assumed regulatory responsibilities from the Betting Control and Licensing Board (BCLB) on 28 February. This transition marks a shift in how the country oversees its fast-growing betting market.
Leading the authority is Director General Peter Karimi, who has outlined a broader vision for tighter control. His approach centres on strengthening compliance while modernising regulatory systems.
Stronger oversight and revenue ambitions
Karimi recently told a parliamentary committee that the authority is exploring a larger role in managing betting revenues. These revenues are currently handled by the Kenya Revenue Authority (KRA).
The proposal aligns with broader efforts to improve oversight and accountability across the gambling ecosystem. Kenya’s betting market has expanded rapidly, driven largely by online platforms and mobile access.
To support this shift, the GRA plans to recruit nearly 200 employees. The authority also intends to invest in advanced surveillance systems. These systems will monitor transactions and ensure operators comply with regulatory requirements.
“Many of these operations are online, and casinos, unfortunately, are attractive targets for illicit activities,” said Karimi. He added that the regulator must build “top-notch surveillance” capabilities.
National lottery plans gain momentum
Alongside regulatory reforms, the authority is exploring the creation of a national lottery. This initiative could become a major revenue stream for the government.
Karimi noted that global benchmarks show that national lottery systems can generate up to 2 percent of a country’s Gross Domestic Product. Such systems often support public services and development programmes.
“We are looking at the Kenyan lottery generating revenue that can be a financial enabler for the country and support economic and social transformation,” Karimi said.
The authority is considering appointing a national lottery operator through a competitive process. This process will likely involve international advisory support to ensure compliance with global standards.
New licensing framework ahead of 2026 deadline
The GRA plans to roll out its updated licensing and monitoring framework before the June 2026 deadline. Betting operators will need to comply with new regulatory and technological requirements.
These requirements will include systems designed to track both land-based and online gambling activities. The goal is to create a transparent and accountable operating environment.
Lawmakers are also considering a proposal that would allow the authority to retain part of the funds it collects. This measure could strengthen enforcement capacity and support the deployment of technology.
If approved, the move would give the regulator more autonomy in funding its operations. It would also reinforce its ability to manage licensing activities effectively.
A watershed moment in Kenya’s gambling industry
Kenya’s gambling industry is at a watershed moment as reforms are falling into place to take it in the right direction, with tighter regulation and monitoring, and more viable revenue generation. With the licensing deadline around the corner, the operators are feeling the heat to comply with the reforms. Meanwhile, the proposed lottery could redefine the place of gambling in Kenya’s economy.
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