The Kenyan government has declared its intention to launch a National Lottery. This is set to challenge betting companies to raise more capital for sports, traditions, and the arts. Revenue from the National Lottery is forecast to increase allocations to the gambling in Kenya. This is a crucial funding source for the Arts, Sports, and Social Development Fund.
But that’s not all! The National Treasury also explores a dynamic Public-Private Enterprise framework to propel construction projects forward. This innovative approach offers enticing tax incentives to attract financial backing. It ensures a dedicated and separate charge for seamless execution.
“To make the most of the propensity of the sports and arts businesses, the government will consider long-lasting solutions. Thus supporting sports and might even set up a national lottery. More than that, the authorities will conduct a thorough assessment of the Sports Act. They will designate a new position in the Tourist Promotion Board and allocate resources to bring in top-tier athletic events”. The National Treasury added.
Public lotteries such as the Kenya Charity Sweepstake and the Win Lotto exist in Kenya. However, the country does not possess a centralized lottery system.
Unlike the national lottery, a state lottery is state-sanctioned and uses ticket sales to support cultural projects.
In the US, lotteries such as Powerball and Mega Millions are managed by separate states forming National Lotteries. The Gambling Commission has overseen the National Lottery in Great Britain since its commencement in 1994.
Hence, the 2019 Gaming Bill was an initiative to set up a National Lottery in Kenya. The Gaming Bill was created to replace the Betting, Lottery, and Gaming Act. If the government set up a National Lottery, it would face competition from existing lottery enterprises.
For the 2022–2023 fiscal year, the BCLB estimates 105 betting shops, 13 public lotteries, and 57 community gaming venues will be open to the public. Yet lotteries are not the same as betting or gambling.
So far, in betting, the stakes are equal to the money wagered. In contrast, in a lottery, the beneficiaries are chosen at random. Bets are placed on the outcome of an event, with the bettor expecting to profit monetarily if their assessment is correct.
The authorities rely on earnings from betting, lotteries, and gaming levies. This helps fund cultural and social objectives. In the budget year ending in June 2022, the gaming industry garnered Sh3.294 billion for the public purse. The new financial year is expected to generate a net of Sh15 billion for the national treasury.
