Ethiopia's Addis Ababa implements total ban on sports betting amid NLA concerns

The Addis Ababa Peace and Security Administration Bureau has implemented a complete ban on sports betting and gambling establishments within the city limits. According to the Ethiopian business portal 2merkato.com, Deputy Head Mideksa Kebede announced that the decision comes after the closure of 4,118 betting establishments during the 2023/24 fiscal year, Deputy Head Mideksa Kebede stated that the decision follows the closure of 4,118 betting establishments during the 2023/24 fiscal year.

The city administration has cited the detrimental impact of gambling on the community, particularly on youth. Increased theft, property crimes, and the breakdown of families also have been attributed to the proliferation of betting houses.

According to Mideksa Kebede, efforts are underway to assist individuals previously employed in the betting industry to find alternative livelihoods. Property owners who rented spaces to betting houses are being encouraged to find new tenants for their properties.

Contrary to the city's approaches, the National Lottery Administration (NLA) announced in February 2024 that the closure of legal betting houses would not be appropriate. The administration stated it reached this conclusion after conducting a study on the sector. It also emphasized the need to differentiate between legitimate and illegal sports betting establishments.

NLA also disclosed that legally operating betting establishments contribute Birr 89 million monthly to the government in commissions, alongside fulfilling income tax and social service payment requirements. Income tax deductions from bet winners reach Birr 39 million monthly, with an additional Birr 7 million allocated for social services by licensed sports betting establishments.

Last year, the Addis Ababa government ordered the closure of hundreds of betting facilities on security grounds. However, since the government could not announce a complete ban on betting, the betting facilities continued operating.