Address the negative effects of gambling

Uganda has seen the proliferation of lotteries, casinos and sports betting. As a result, the National Lotteries and Gaming Regulatory Board (NLGRB) collected Shs193 billion in the 2023/2024 Financial Year and is expected to collect Shs300 billion from gaming activities in the current Financial Year.

Despite its great contribution to national development, the gambling industry has a significant potential to cause harm in the form of addiction, loss of savings, idleness and increased crime. A recent study revealed that the prevalence of gambling among young people is very high.

The prevalence of gambling among youth was found to be 17.7 percent, which is 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 Research Study).

Although the NLGRB has been praised for implementing a rigorous Responsible Gaming program, the harms of gaming and gambling remain a thorny issue. The online gambling industry alone has witnessed massive growth in recent years.

The industry is expected to record a Compound Growth Rate (CAGR) of 11.7 percent globally by 2030, reaching US$153.57 billion (according to a report by Grand View Research, Inc.). Unfortunately, the increase in activity is accompanied by the risk of harm from the game.

The NLGRB is charged under Section 4(m) of the Lotteries and Gaming Act of 2017 to receive, investigate, and arbitrate gambling-related complaints and take appropriate action. There is a need for the NLGRB to establish an in-house law firm to handle gambling disputes.

There is also a need for a streamlined Dispute Resolution Mechanism. The Lottery and Gaming Act should be amended to provide for the establishment of a Court of Appeals if an aggrieved party is dissatisfied with the NLGRB’s decision before going to the Supreme Court.

Regulations regarding the handling of complaints and determination of disputes, disposal of unclaimed prizes, appointment of representatives by the Licensee and others should be made in accordance with section 70 of the Act. These will reduce the risk of abuse and exploitation of problem punters and minors.

According to Regulation 3(2) of the Lotteries and Games of Chance (Betting) Regulations 2017, computers and mobile phones are not considered gaming and betting machines or devices. Remote gambling using computers and mobile phones should be regulated by an amendment to the law.

The NLGRB, together with the Uganda Communications Commission (UCC) and Telecommunications Companies, should introduce e-wallets and Over The Top (OTP) payments for online betting and gambling activities. This will bring in more revenue and promote responsible gaming through the detection and prevention of fraud and prevent underage gambling.

There should be an online platform for engagement and gaming support that offers a 24/7 toll-free helpline, online chat, WhatsApp, instant email correspondence, reviews and experiences of former problem punters, safe gaming and advertising campaigns, and instant access to skilled staff. Helping victims of gambling.

To improve revenue collections, the National Central Electronic System (NCEMS) should be automated and integrated with the Uganda Revenue Authority (URA) tax system.

It should also be integrated with the National Identification and Registration Authority and other government systems to help eliminate underage gambling and gambling.

Biometric authentication solutions should be implemented to prevent fraud and money laundering.

The increase in the number of betting and gambling establishments and the emergence of sports and online betting have created a significant financial incentive for our country.

A detailed and comprehensive responsible gaming strategy is needed to eliminate the negative effects of gaming while also generating a lot of revenue.

Franco Tumuhimbise is a Courts of Justice advocate and Commonwealth academic. (email protected)