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Africa’s online gambling industry grew sharply in 2025, with gross gaming revenue climbing to $23 billion. But most of that money did not pass through regulated channels.
Data from Gaming Compliance International shows that only 23% of the market was licensed, while 77% came from unregulated operators. The report warns that such dominance by the unregulated sector undermines consumer protection, weakens tax collection, and leaves governments struggling to control a fast‑growing industry.
Regulated versus unregulated market split
Out of the $23 billion total, regulated operators accounted for $5.2 billion, while unregulated platforms generated $17.8 billion. Just 11 percent of consumers interacted with regulated gambling content, while 89 percent were exposed to unregulated services.
The report estimates that 215 million Africans, or 14 percent of the continent’s population, engaged with online gambling in 2025.
The scale of unregulated activity translated into heavy losses. Africa’s communities missed out on about $3.55 billion in tax revenue, calculated as 20 percent of unregulated gross gaming revenue.
The picture was different across regions. Southern Africa recorded the highest regulated share at 28 percent, while West Africa followed with 31 percent. East Africa and Central Africa remained heavily tilted toward unregulated operators, with 85 percent and 78 percent respectively.
North Africa was almost entirely unregulated, with 99.7 percent of activity outside official frameworks. Globally, Africa’s 23 percent regulated share matched Europe and North America, but Latin America performed slightly better at 27 percent. Asia‑Pacific was even more dominated by unregulated gambling, with 94 percent of its market outside regulation.
GCI recommends four policy changes
The report highlights four main policy areas that shape the competitiveness of regulated operators. High customer taxes, heavy operator taxation, costly payment systems, and restrictions on product availability often push consumers toward unregulated platforms.
These platforms offer cheaper prices, wider product ranges, and more aggressive promotions. Regulators face the challenge of keeping the regulated sector attractive enough to draw consumers in.
As the report notes, “If consumers do not enter and remain within the regulated sector, many of the protections developed by regulators … cannot achieve their intended purposes.”
