Ethiopia Increases Sports Betting and Gambling Tax to 25%

Under a new reform, the Ethiopian government has increased the tax rate on gambling winnings from 15% to 20-25% in accordance with Decree No. 1395/2025. The measure is aimed at increasing the country's domestic revenue by increasing tax revenues.

Gaming analysts are concerned about the consequences of the innovation. If large companies can still survive such a large increase in the tax rate, then small and medium-sized operators will most likely have to leave the country's market. What is equally dangerous is the high probability that many customers will go to illegal or offshore platforms where they can get higher winnings.

For now, the Ethiopian government has maintained the 15% tax rate for all operators, but has suspended the issuance of new licenses until the gambling regulations are fully developed.