The Legal and Institutional Framework for the Regulation of Sports Betting in Ethiopia
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Date
2020
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Addis Ababa, Ethiopia
Abstract
Over the last two years sports betting has expanded rapidly in Ethiopia. The speedy expansion
has sparked controversies among stakeholders. The media is reporting that the business is
fostering addiction and drawing minors. The Ministry of Women, Children and Youth is also
lobbying to make the business banned legally claiming it is a harmful gambling practice. The
National lottery Administration (NLA), the regulator of the sector, however, has been arguing
that sports betting is no gambling and is conducted under its regulation on a license base. This
thesis presents an analysis of the Ethiopian legal and institutional framework governing the
regulation of sports betting and the general objective is to evaluate its adequacy to prevent or
manage the potential vices of the business. The study particularly asks whether the legal
framework adequately protects minors and whether it has sufficient rules to prevent addiction
and money laundering. The analysis is mainly based on a review of literature, globally
recommended best practices, and countries’ experiences. The paper argues that sports betting is
a pure commercial gambling service, and with all its positive contribution in terms of revenue
and job creation, it also has all the potential to result in serious social and economical crises
unless it is properly regulated. The analysis on the issue proved that the existing legal framework
in Ethiopia has many gaps and is insufficient to effectively prevent the possible side impacts of
sports betting. And the current regulatory institution lacks the appropriate structure,
independence, and sufficient powers and responsibilities. On this base, the study recommended a
comprehensive policy; legal and institutional reform that enhance the overall regulatory
framework and will help to resolve the specific problems identified in the paper.