More opposition to Kenya gambling reform proposal

News on 3 Mar 2017

By noiw you would have thought that Kenya MP Jakoyo Midiwo would have had enough of a battering over his gambling reform proposals to call it a day; from gambling operators and the Interior Ministry to the taxman, his Betting, Lotteries and Gaming (Amendment) Bill, 2016 has been roundly hammered and criticised, exposing serious flaws.

This week it was the turn of the House Labour Committee to have a go, and MPs did not hold back, calling for the bill to be shelved and accusing Midiwo of a lack of proper consultation.

The committee finally recommended that further consultations be undertaken to allow the introduction of a more comprehensive and balanced proposal.

“The sponsor should withdraw the Bill or it must be rejected. A comprehensive Bill to replace the current Act should be introduced in the House for consideration and passage,” the committee said.

“If adopted by the House, the Bill will be lost in the Second Reading stage. The Bill has several clauses that will have the effect of killing the online betting, lotteries and gambling industry.”

MPs on the committee echoed the comments of the Kenya Revenue Authority in warning that the “excess tax levels and statutory commitments” that leave betting firms “with only five percent of net revenues to cover operations costs are not viable”.

The committee also observed that the proposed law has unconstitutional clauses.

“The proposed changes to the law do not address emerging issues and simply deal with challenges by outlawing online betting, lotteries and gambling activities,” reads the report.

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