Nigeria's gambling industry is facing a tug-of-war over regulatory authority between the federal and state governments. Last December, President Bola Tinubu vetoed the Central Gambling Act, which aimed to establish centralized regulation, on the grounds that it contradicted the Supreme Court's 2024 decision that "gambling should be regulated by the states." In plain terms, the central government wants to consolidate power, but both the law and local governments disagree, leaving the situation in limbo. Ben Koff, CMO of Logifuture, which provides technical support to local leader Bet9ja, believes that 2026 could see a turning point, with all parties needing to "find a mutually recognized system." Interested in the latest regulatory developments in Africa's largest gambling market? The PASA official website continues to track key policy changes.
First, the regulatory deadlock: President vetoes central bill, power attribution undecided
The core of Nigeria's gambling regulatory dispute lies in whether power should be centralized in the federal government or devolved to the 36 states. The Supreme Court's decision in 2024 clearly leans towards the latter, but President Tinubu's veto of the centralization bill last December complicates the situation. If passed, the bill would have established a national regulatory commission similar to the now-repealed Lottery Act.
Koff hopes that by 2026 "common sense will intervene." He believes that whether it's national legislation, a national coordination committee, or a system of state committees, the key is to form a clear regulatory framework that aligns with the industry's pace.
Second, industry demands: Protecting players and blocking "barbarians"
As a supplier deeply rooted in Nigeria, Logifuture's stance is clear: an effective regulatory system should protect both consumers and compliant operators.
"We don't want Nigeria to become a 'no man's land,' allowing foreign operators to jump in, grab market share, evade taxes, and disregard rules," Koff emphasizes. A clear set of regulations can both prevent player harm and stop speculative "hit-and-run" operators from disrupting the market.
For Bet9ja, which already has over 20,000 retail outlets and a stable online business in the area, the current deadlock has not affected daily operations. However, Koff admits that this is always a "matter of concern" for the company's legal team.
Third, market reality: The "high threshold" and "long ramp" of maturity
Despite unclear regulations, the Nigerian market's fundamentals remain attractive—with over a million people turning 18 each year, becoming potential consumers. However, Koff also warns that the market is rapidly maturing, with a few leading brands firmly in control.
For newcomers, the outlook is not optimistic:
High initial costs: Brand building and channel deployment require substantial investment
Long return period: The average consumption level and unit price of players determine that "quick in and out" is not possible
High strategic resilience required: Regardless of clear regulations, a long-term commitment is necessary
"It requires a very strategic, long-term commitment," Koff concludes. For those investors still on the fence, a stable regulatory framework is undoubtedly the long-awaited "green light."
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This article is from "PASA-Global iGaming Leaders," a gambling industry news channel: https://t.me/pasa_news
Original in-depth gambling channel: https://t.me/gamblingdeep
Free data reports: @pasa_research
PASA Matrix: @pasa002_bot
PASA official website: https://www.pasa.news
