…as NIPPS call for Executive Order on the dangers of sports betting
By Gloria Ikibah
The Chairman of the House of Representatives Committee on Intergovernmental Affairs, Rep. Canice Nwachukwu, has said there is the need to establish a Central Monitoring System for the sports betting ecosystem in the country.
Rep. Canice stated this on Wednesday in Abuja during an investigative hearing on a motion referred to the Committee by the House on the “Need to Curtail the Dangerous Effects of Sport Betting and Direct the National Lottery Regulatory Commission to comply with the Lottery Regulatory Commission Act, 2005”, by Rep. Kelechi Nwogu at plenary.
He assured that the Committee was not going to call for the shutting down of the Sports Betting sector but would ensure it follows laid down rules and does not become inimical to society.
He said, “We are all Nigerians. We would not go against people doing their business. The have rights to exercise their franchise. But what we are saying is we have to play within the rules of the game.
“We have to arm the system to control and enforce all the provisions that would allow gaming and betting to flow smoothly without becoming a social menace.
“I am not going to be here to say we are going to shut gaming and betting and people operating in that sector. What we would do is to make sure there is a level playing ground whereby all the mechanisms that should be out in place to ensure it does not become inimical to the society.
“We have to play within the rules of engagement. That comes to the issue of a central monitoring system. It must be introduced. This is going to a reasonable extent help is solved some of the problems we are having now.
“By the time we have the system in place some of these stories would become history. It is not going to be completely eradicated but to a reasonable extent it will solve some of these issues.”
Deputy Director of the National Institute for Policy and Strategic Studies, Kuru, Sandra Agbor, in her submission urged that while awaiting the review and passage of the Nigerian Lottery Regulatory Commission Act 2005, the President should enact an Executive Order on the dangers of sports betting in Nigeria.
Speaking on the contribution of Sports Betting to the economy, she said Nigerians plough about $2 billion a year into sports betting annually.
“The Federal Inland Revenue Service (FIRS) has imposed a 7.5% value-added tax (VAT) on betting activities in the country. The contribution of sports betting to the national economy is huge and cannot be ignored.
“The number of betting companies operating in Nigeria has provided more employment opportunities, with thousands of Nigerians now working for both the local and foreign companies.
“Sports betting companies have aided the Nigerian economy by forming partnerships and signing sponsorship deals with several organizations, both in the sports and entertainment industries,” Agbor said.
She stated that the Nigerian sports betting market is rapidly developing, and this has a positive effect on the economy.
Agbor added that the industry can attract investors, create new jobs, and generate more revenue to the national purse, however, the negative effects should be factored into the design of a holistic response that will protect the underage, prevent fraud, and confront addiction in Nigeria.
Director General of the National Lottery Regulatory Commission, Mr Lanre Gbajabiamila, said lottery and gaming remains a veritable development instrument to make sports entertainment a revenue spinning venture.
Represented by the Director Licensing and Operation, Obi Yeregu, he said the Commission has put in a lot of measures to not only mitigate the adverse effects of sports betting.
He stated: “There are lots of benefits inherent in it. The sports betting has been a veritable tool of empowering Nigerians and giving gainful employment to our teeming youths.
“The number of Nigerian youths employed in this ecosystem is huge. Very huge. The Commission in recent past has brought experts to enlighten Nigerians on the benefits of sports betting and also to emphasize responsible gaming.
“The slogan of our commission is lottery the right way. This connote the fact that not only does it generate revenue it also sensitive to ensure that we don’t breed addicts”.
The Association of Nigerian Bookmakers Olafadeke Akeju, said sports betting industry makes significant contributions to the Nigerian economy through job creation, tax revenue generation, and investment in local communities.
She said by supporting responsible gaming and regulatory compliance, the Sports Betting industry is contributing to the sustainable growth of the gaming sector.
Ajeku assured that as responsible members of society, they are committed to promoting responsible gaming practices and ensuring compliance with relevant regulatory frameworks.
She said operators play a crucial role in curbing the side effects of gaming and promoting responsible gambling practices which cannot be undermined in any society.
According to her, the protection of gaming customers can be achieved through education, awareness campaigns, and responsible gaming tools, aimed at preventing problem gambling and mitigating the harmful effects to individuals and communities.
Head of Legal and Compliance and Stakeholders’ Engagement, KC Gaming Networks Ltd (Bet9ja), Adewale Akande, said sports betting industry has been a huge source of revenue to the government at all levels as well as huge employers of labour.
Akande said the industry is still at its infancy and has a lot of potential for more growth, but urged that the industry be nurtured for the betterment of all Nigerians.
According to her, making Sports Betting illegal could have significant negative impacts on both the government and customers.
“From a governmental perspective, banning sports betting eliminates a potential source of revenue through taxes and licensing fees, which could otherwise be allocated to various public services and projects.
“Additionally, prohibition may drive sports betting underground, leading to an increase in illegal gambling activities by unscrupulous operators and criminals, making regulation and control more challenging and costly for law enforcement.
“For customers, the prohibition of sports betting denies them the freedom to engage in a popular form of entertainment and removes consumer protections inherent in a regulated market, such as ensuring fair odds, transparent transactions, and mechanisms for dispute resolution.
“Moreover, it may push individuals towards unregulated and potentially risky alternatives, leaving them vulnerable to fraud and exploitation. Overall, banning sports betting could deprive both the government and customers of benefits while creating additional challenges,” he said.