Senegal iGaming Market Research Report

Senegal is located in West Africa and has an estimated population of 18 million people. Senegal has been experiencing rapid growth in its digital economy, especially because more people are using mobile devices and the country has a young population. The iGaming industry in Senegal is concentrated on the Senegalese government’s sports betting and lottery operations. Tourists who come to Dakar will find both types of gambling available to them at casinos. LONASE, the lottery company that runs its own lottery, generates significant profit from these operations. A recent law, Law 17/2025, has placed a 20% tax on all winnings related to gambling and applies retroactively to December 2025. Bettors throughout Senegal organized a protest against the recent legislation and were prompted to withdraw their participation from BetPawa in September 2025 because of excessive fees and restrictive conditions imposed on them. According to LONASE, players in Senegal wagered a total of 266 billion CFA francs (approximately $440 million) in 2022, signifying the accelerating growth of gaming activity in Senegal. By 2026, gaming revenues are expected to total approximately $2.1 billion from all forms of gambling; mobile gaming accounts for most of the growth. The purpose of this report is to outline trends, regulations, competition, and potential opportunities available to operators and investors considering entering Senegal’s developing gaming market.

Market Overview

Senegal’s iGaming industry has been experiencing rapid growth due to its government-owned company, LONASE, which achieved over 266 billion CFA francs (roughly $440 million USD) in revenues during 2022, thanks largely to the large amount of lotteries and sports bets taken on by customers. There are estimates that the total amount of money wagered (Gross Gaming Revenue (GGR)) in this industry will grow to $2.1 billion USD by 2026 because of an increase in mobile use and a youthful population (which constitutes about 40% of the population being under 30 years old). Sports betting is expected, by some projections, to account for over $20 million USD in mobile gaming alone by 2023. Although exact figures for 2025 are not available, the expansion of this sector is correlated with Senegal’s overall economic growth (GDP) in Q1 2025 of 12.1% as a result of an increase in hydrocarbons (oil and gas), which should allow higher levels of disposable income and provide ongoing support for sports betting activity. Currently, there are approximately 6 million active bettors within Senegal (about 29% of the total population of 18 million), which provides a significant customer base for all operators.

Table 1: Market Size and Growth Metrics

Market Size & Growth

• Revenue Benchmarks: LONASE 2022 turnover: 266B CFA (~$440M); projected iGaming GGR: $2.1B by 2026.​
• Growth Drivers: Mobile-first adoption, smartphone proliferation; non-oil GDP at 3.1% supports steady expansion.​
• Player Scale: ~6M bettors (29.09% participation rate in sports betting per 2022 surveys).​

Popular Game Types

Sports betting leads, particularly football (e.g., Champions League), followed by crash games like Aviator, virtual sports, and lotteries; casinos focus on table games and poker in land-based venues. Lotteries dominate via LONASE monopoly, with 6.5% participation; peer betting (11.5%) and online/app bets (18.9%) gain traction.​

• Top Verticals:

• • Football sports betting (cultural staple).
  • Crash/virtual games (mobile appeal).
  • State lotteries (monopoly-driven).
  • Casino/poker (tourist niches).​

Table 2: Popular Game Types

Player Demographics

Predominantly young males: 70% aged 25-34, 28.3% 18-24, 80.8% male. Motivations include financial gain (63.26%) and thrill (21%), with preferences for live sports-linked bets. High mobile wallet use (e.g., Orange Money) aligns with tech-savvy urban youth.​

Table 3: Player Demographics

This overview highlights untapped potential in digital segments, despite regulatory hurdles, positioning Senegal as an attractive West African entry point.

Regulatory Landscape

The gambling regulations in Senegal are based on the 1966 legislation, which gave the state of Senegal a monopoly over lottery games and sports betting through LONASE (Loterie Nationale Sénégalais) and gave the Ministry of Interior the power to regulate the operations of land-based casinos. There are no legislative provisions specifically governing online gambling, but they are classified as e-commerce activities under the 2004 e-commerce law for consumer protection, thus permitting them to be operated from outside of Senegal and excluding the operation of unlicensed gambling businesses within the country. LONASE promotes responsible gaming practices and recently established a modernized organization consisting of 86 full-time employees, effective January 2026, to facilitate the operation of LONASE.

Overview of Existing Gambling Regulations

• LONASE: Monopoly holder for lotteries/sports betting; licenses partners, reviews applications.​
• Ministry of Interior: Oversees land-based casinos and inspections.​
• Ministry of Economy & Finance: Tax enforcement, financial guarantees.​

Licensing Requirements and Regulatory Authorities

Operators must register locally, submit business plans, prove financial capacity (~$20,000 deposit), and comply with tech/responsible gaming standards; the process takes ~2 months for 5-10 year licenses.​

Table 4: Licensing Requirements

Taxation and Compliance Details

Taxes target GGR: 15-25% casinos, 15% sports betting, 10-15% lotteries; new 20% winnings tax (Law 17/2025, Nov 2025) auto-deducted, plus 0.5% mobile levy. Compliance demands reporting, audits, violations, risk fines/license revocation.​

• Winnings Tax Impact: $100k win → $80k net; bettor backlash noted.​
• Reporting: Quarterly to LONASE/Ministries.​

Table 5: Taxation Details

Upcoming Legislative Changes

Although there have not been any significant 2026 legislative bills proposed thus far, LONASE restructuring indicates that this may yield increased efficiencies in the industry. Online frameworks appear increasingly necessary due to continuing digital transformation, even though offshore activities are ongoing. In addition to a potential increase in taxes due to fiscal constraints; as such, there will be an increasing degree of difficulty for new entrants into this space, but it will also continue to reward the local players who operate within established regulations set forth by government entities.

Competitive Landscape

In Senegal’s emerging gaming market, LONASE continues to maintain its market dominance in the lottery and sports betting sectors while licensed local and offshore international operators address an online void. Following the exit of betPawa in 2025 due to high taxation and LONASE’s high commission fees, we have seen increased market consolidation among more persistent market flavors and additional opportunities for overseas operators who can take advantage of regulatory issues. This fragmented marketplace continues to be advantageous for mobile sports betting operators as they capitalize on a user base of approximately 6 million consumers using smartphones to place bets.

Key Market Players

Local and international operators span monopolies, licensed partners, and offshore entities.

Table 6: Key Market Players

Market Share Distribution

LONASE commands ~70-80% via monopoly, with licensed locals like Bwinners at 10-15%; offshore internationals (1xBet et al.) capture 20-30% online share, boosted by mobile access. Sports betting overshadows casinos (tourist-focused), and lotteries are steady at 6.5% participation.​

Table 7: Estimated Market Share Distribution

Partnerships and Strategic Alliances

Affiliate marketing thrives via influencers and fixed-CPA models targeting first deposits; LONASE partners with locals like Bwinners for distribution. Internationals ally with payment providers (Orange Money); post-betPawa, consolidation rumors swirl, emphasizing localized promotions. No major M&A in 2025-2026, but digital alliances eyed for growth.​

Low saturation invites internationals, yet LONASE gatekeeping shapes dynamics.

Consumer Trends

Senegalese players exhibit high engagement in sports-linked betting, with 29% participation driven by quick wins and entertainment; 63% seek financial gains, 21% thrill, often wagering more during live football. Preferences lean mobile-first, favoring crash games (Aviator) and virtual sports for instant gratification.​

Player Behavior and Preferences

• Betting Triggers: Football events (Champions League), live in-play; 33% increase in stakes on watched games.​
• Frequency: Regular via apps; 18.9% online/app bets.​
• Shifts: Post-20% tax caution, favoring high-odds plays.​

Payment Methods and Technological Trends

Mobile money reigns: Orange Money, Wave, Yooz, Free Money processed 12 trillion CFA in 2022; cards/crypto secondary. High smartphone penetration (youth-led) boosts apps, SMS betting; influencers via social media drive acquisition.​

Table 8: Payment Methods

Social and Cultural Influences on iGaming

Football culture amplifies betting as a social activity; French/Wolof content builds trust. Youth demographics (70% 25-34) normalize iGaming, but Islamic norms temper in rural areas; urban Dakar leads adoption. Trends favor localized, faith-sensitive promotions.​

Digital natives propel evolution, blending tradition with tech. 

Opportunities & Challenges

Mobile-first and young population (high penetration levels through 2027) and Niche Market Potential (e.g., Bombardier, Basketball, etc.). New entrants can use quick licensing times (approx. 2 months) and first-mover advantages to enter untested segments.

Challenges include strict LONASE(hence) restrictions, offshore movement due to high taxation/fees, and a betPawa-style exit to market. Opportunities for new entrants to consider investing in local affiliate-based marketing initiatives and mobile payment systems.

Conclusion & Recommendations

By 2026, Senegal’s iGaming sector is projected to be worth an estimated $2.1 billion (GGR), primarily coming from sports wagering and lotteries, but will ultimately depend on the established LONASE monopoly and 20% taxation. Operators need to register locally and utilise influencers; investors see opportunities in payments integration. Outlook is positive for ongoing investment via infrastructure development, pending regulations for online gaming.

Data and Sources:​

1. iGaming AFRIKA: Covers Senegal’s National Lottery (LONASE) operational modernization, betPawa exit, industry news (2025-2026), 
2. Peaky Ads Blog: Detailed iGaming landscape analysis, market projections ($2.1B GGR), player stats (6M bettors), opportunities/challenges (2025), 
3. LegalPilot: Gambling legal status, regulations, licensing/tax details (2025-2026), 
4. GamblingTalk: 20% winnings tax under Law 17/2025 implementation (Dec 2025), 
5. Betpack: Online casinos in Senegal, offshore operators like 1xBet/Betway, 
6. TGM Research: 2022 gambling/sports betting survey (29% participation, motives), 
7. Start.io: Sports gamblers demographics (70% 25-34, 80.8% male), 
8. Digital Virgo: Digital ecosystem, mobile payments (Orange Money, 12T CFA 2022), 
9. XDAfrica: Gambling licenses in Senegal overview, 
10. Seneweb: Online casinos’ safety, regulatory gaps, 
11. African Gambit: Bettors protesting 20% tax (Nov 2025), 

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