MPs have backed sweeping reforms proposed by the government to regulate gambling.
Members of the two Houses of Parliament have reworked a state-sponsored bill, introducing stringent measures that target gamblers, operators and media platforms.
The newly approved version of the Gambling Control Bill, 2023, seeks to curb addiction, protect minors and clamp down on illegal betting.
It further seeks to impose heavy penalties for violations, including fines of up to Sh20 million and lengthy jail terms for culpability.
The proposed law further imposes tough restrictions on gambling advertisements, among others, prohibiting use of celebrities and public vehicles to promote betting.
Should it be approved, advertisements would need to include clear warnings about the risks of addiction and responsible gaming.
There would also be explicit bans on underage participation. “A gambling advertisement shall indicate the addictive nature of gambling, notify players to play responsibly, and prohibit children from playing,” the bill reads in part.
In a significant step, television and radio advertisements for gambling would, by law, be barred between 6 am and 10 pm, with exceptions only for live sports broadcasts.
Gaming ads, carried through billboards, are also banned within close proximity to learning institutions.
Media houses and operators found violating the proposed rules risk fines of up to Sh20 million or imprisonment for up to 20 years.
Additionally, the law mandates that 20 per cent of all gambling-related advertisements will have to promote responsible gaming.
It also says it would be illegal to mislead members of the public into viewing gambling as a viable income source.
“A gaming ad shall not use false, misleading or deceptive messages likely to create erroneous positive impression of gambling,” the Bill says.
It hands Cabinet Secretary for Sports sweeping powers to determine which licensed gambling activities may be advertised.
The CS would also regulate information that is to appear in an advertisement and places where signs relating to a national lottery may be displayed.
Regulations would be drawn to determine the content that would not be included in ads, nor be published in certain publications or media.
Beyond advertising, the Bill introduces severe penalties for illegal gambling activities.
Operators running unlicensed casinos, lotteries or online betting platforms face fines of up to Sh5 million and five-year prison sentences for repeat offences.
Individuals caught cheating in games or facilitating underage gambling—defined as anyone under 18—will be fined Sh1 million or jailed for a year.
The law also tightens regulations on foreign-based online gambling platforms, requiring them to register locally, maintain Kenyan bank accounts and submit audited financial records.
Companies deemed non-compliant could face fines of up to Sh50 million for corporate entities and Sh2 million for individual hosts.
To further safeguard the industry, the proposed law requires operators to set aside substantial security deposits.
Online gambling firms must provide Sh100 million as insurance, while casinos would be required to deposit Sh20 million.
Even smaller operators, such as those running amusement machines, would be compelled by law to set aside Sh200,000 as a financial guarantee.
These bonds are designed to cover liabilities, including unpaid winnings or regulatory fines, ensuring operators remain accountable.
Those operating a premise or shop – including those with installations for online gambling- would be required to deposit Sh500,000 security.
The legislation also prioritises player protections, introducing mechanisms such as self-exclusion registers, which allow gambling addicts to voluntarily ban themselves from betting venues.
Online platforms will be subject to real-time monitoring by the proposed Gambling Regulatory Authority, ensuring compliance with age verification protocols.
Platforms that fail to enforce these measures will also face strict penalties, including hefty fines.
Betting Control and Licensing Board backed the stringent law as crucial to helping tame the gambling craze in the country.
The entity described the proposed law as a long-overdue intervention to protect vulnerable individuals and families from the devastating effects of addiction.
“The board's overall goal is to have a well-regulated gaming industry that can guarantee public protection, revenue generation, responsible gambling,” BCLB boss Peter Mbugi earlier told MPs.
He argued that the existing law was enacted in 1966 and has no sufficient teeth to bite, hence not a dependable deterrent.
INSTANT ANALYSIS
The success of the proposed law would depend on close collaboration between the Gambling Regulatory Authority, county governments, and law enforcement agencies. Their ability to dismantle illegal betting networks, while ensuring a fair and transparent gambling environment for those who participate responsibly, is deemed the ideal outcome.
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