Uganda has witnessed the proliferation of lottery, casinos, and sports betting. As a result, the National Lotteries and Gaming Regulatory Board (NLGRB) collected Shs 193 billion in the Financial Year 2023/2024 and is expected to collect Shs300 billion from gaming activities in the current Financial Year.
Despite its great contribution to national development, there is a glaring potential for the gambling sector to cause harm in the form of addictions, loss of savings, idleness, and increased crime. A recent study has revealed a very high gambling prevalence levels among young people.
The gambling prevalence among the youths was found at 17.7 percent, two to three times higher than the prevalence in adults (Michael U. Anyanwu, et al., 2023, Problem Gambling among Adolescents in Uganda: A Cross-sectional Survey Study).
Although the NLGRB is highly commended for implementing a rigorous Responsible Gaming program, the gaming and gambling harm remains a formidable challenge. The online gambling industry alone has witnessed massive growth in recent years.
The sector is projected to grow to USD 153.57 billion globally by 2030 recording a CAGR of 11.7 percent (as per a report by Grand View Research, inc). Unfortunately, the increase in activity has been accompanied by increased risk of gaming harm.
The NLGRB is mandated under Section 4(m) of the Lotteries and Gaming Act, 2017 to receive, investigate and arbitrate complaints relating to gaming and to take appropriate action. There is need for NLGRB to establish an in-house law firm to handle gambling disputes.
There is also need for a streamlined Dispute Resolution Mechanism. The Lotteries and Gaming Act should be amended to provide for an Appeals Tribunal where an aggrieved party is not satisfied with the decision of NLGRB before going to High Court.
Regulations on handling of complaints and determination of disputes, disposal of unclaimed prizes, appointment of agents by a Licensee, among others should be enacted under section 70 of the Act. These will mitigate the risks of abuse and exploitation of problem punters and minors.
According to Regulation 3(2) of the Lotteries and Gaming (Betting) Regulations, 2017, computers and mobile phones are not considered as gaming and betting machines or devices. Remote gambling using computers and mobile phones should be provided for by the law through an amendment.
The NLGRB, together with the Uganda Communication Commission (UCC) and Telecommunication Companies should introduce e-wallets and Over The Top (OTP) payments for online betting and gambling activities. This will generate more revenue and improve responsible gaming through fraud detection and prevention and curb underage gambling.
There should be an interaction and gaming support online platform with a 24/7 toll free helpline, an online chat, WhatsApp, instant e-mail correspondences, comments and experience of former problem punters, safe gaming and advertising campaigns and instant access to skilled personnel to help gambling victims.
The National Central Electronic System (NCEMS) should be automated and integrated with Uganda Revenue Authority (URA’s) tax system to improve revenue collections.
It should also be integrated with National Identification and Registration Authority and other government systems to help weed out underage gambling and gambling.
Biometric authentication solutions should be implemented to counteract fraud and money laundering.
The increase in the number of betting and gambling entities and the advent of sports and online betting have all created a remarkable fiscal stimulus for our country.
There is need for an elaborate and comprehensive responsible gaming strategy to address the adverse effects of gaming and while generating much revenue at the same time.
Franco Tumuhimbise is an advocate of the Courts of Judicature and a Commonwealth scholar. [email protected]