Online Gambling Regulation South Africa
Both laws sought to regulate gaming at online casinos in South Africa, yet as of this writing the answer to the question “Is online gambling legal in South Africa” remains “yes and no.” The national statutes of the 2000s, approximating those of Australia and Canada, leave the question to the states. The recently published draft Films and Publications Amendment Regulations have significant implications for online gaming companies in their current form. The Regulations are out of sync with the commercial realities of online content distribution and gaming platforms and impose extensive administrative and cumbersome obligations on online distributors.
Online Casino Gambling Legal South Africa
Since before South Africa became a republic, gambling in most forms was banned. While the laws have changed significantly, it is certainly not a free for all, however, gambling in and of itself is no longer illegal. Gambling in land-based establishments in South Africa is legal and regulated. For many years, South Africans traveled outside of the legal borders of South African in order to go to a casino. With the changes in the gambling law, this is no longer necessary. Online gambling in South Africa is still illegal at this time.
Online Gambling – The Position of the South African Government Gambling is regulated by the national government. Provincial governments have the powers to licence and legislate gambling in their provinces and areas of jurisdiction. The current national legislation provides for the development of “online gambling policy”. Online gambling is not permissible under the current legislation, but will soon be once the National Gambling Amendment Bill gets enacted. Currently gambling in South Africa is regulated concurrently by national and provincial legislation. Recent online gambling law The South African government promulgated the National Gambling Act of 2004, which made it illegal to engage in what it termed 'interactive gambling services' and the offering or advertising of these services for South Africans. By 'interactive' the law refers to Internet games.
SA'S GAMBLING ACT OF 1965
The South African Gambling Act of 1965 ruled gambling as illegal. Gambling, such as horseracing, was legal. The reason for this is because horseracing is considered a sport. In the 1970s, there were a number of illegal casinos created, with the number rising until there were about 2,000 illegal casinos in the mid 90s. Along with the change from a conservative government to a democratic one, the gambling laws were updated in 1994. At that time, gambling was legalised. In 1996, South Africa introduced a national lottery and regulated and licensed casinos.
CHANGES TO THE GAMBLING ACT IN 2004
In 2004, the 1996 Act was repealed, and the National Gambling Act of 2004 came into effect. While land-based gambling was still allowed, online gambling was no longer considered legal. Again, sportsbetting, even if it was done online, was still considered legal. While online gambling is illegal, the emphasis and main responsibility seems to lie with the gambling operators and the financial institutions. To date, no individuals have been prosecuted for playing at online casinos.
GAMBLING LAW TODAY
In 2008, there was an attempt to legalise and regulate the online gambling market in South Africa, however, since there was strong opposition, the Act has not yet been accepted as law. In 2010, the North Gauteng High Court issued a ruling that gambling transactions though both local and offshore operators is illegal. While both players and operators are fully aware of this law, there are still many casino choices open to South African players.
Those who choose to play at online casinos should make sure that the casinos are safe and secure, and have a good reputation. Although the online casinos will not be licensed in South Africa, it is important to choose a casino that is fully licensed in a recognised gaming jurisdiction.
Many of the online casinos that still offer their sites to South African players will offer players the chance of playing in South African Rands (ZAR), and thereby avoiding exchange rate fees. Many casinos also offer a special Welcome Bonus or free money offer to those who are located in South Africa. In addition to this, players should keep an eye open for an online casino with top notch Customer Support team. Customer Support is available 24 hours a day, with many support teams offering a South African toll free telephone number.
South Africa has a unique set of gambling laws. For decades, nearly all forms of gambling were completely illegal here. Today, there are legal options to make bets here, yet online gaming options remain limited. Many are now calling for online gambling in South Africa to become legal.
Today, we’re going to look at South Africa’s current set of laws on the land-based and online gambling industry. We’ll also look at why so many are pushing lawmakers to legalize internet gambling.
Evolution of South Africa’s Gambling Laws
The real history of gambling in South Africa dates back hundreds of years. Up until the 20th century, gambling was legal, yet heavily restricted. In 1965, the government cracked down on the industry and declared that all forms of gambling were completely illegal.
As you might expect, this ban created a huge black market for the gambling industry. Small, illegal casinos began opening around the country. By the early 1990s, the government realized they needed to make a change. Lawmakers passed the National Gaming Act in 1996, giving gambling companies a legal avenue to offer their services.
Under these new laws, companies could receive a license from the government to offer casino games, bingo games, and horse racing odds. In 2006, lawmakers here updated the country’s gambling laws. Regulation over the industry got stricter and online gambling in South Africa was deemed illegal.
Today, there are 40 land-based casinos in South Africa. They’re hugely popular with both tourists and locals. Let’s take a quick look at how much revenue this country’s gambling industry is bringing in.
Gambling Is One of South Africa’s Fastest-Growing Industries
For the past 20 years, the popularity of gambling has exploded in South Africa. The rise in legal land-based gambling options has breathed new life into the industry. Revenue earned from gambling in South Africa has never been higher here.
In 2018, the gambling industry here earned more than 30 billion rand ($2,091,000 USD). This money is only from legal gambling establishments. Most analysts feel that when adding the revenue from the unregulated online gambling industry, the figure goes up tremendously.
A recent report states that by 2021, this country’s gambling industry could be worth 35 billion rand. It would represent a massive increase over a very short period of time. Unfortunately, the Department of Trade and Industry (DTI) here is known to be heavily against gambling activities.
For obvious reasons, many are now calling for online gambling in South Africa to become fully legal. It’s clear that millions of people here enjoy wagering online, yet the government is missing out on millions of dollars without regulation. Is this likely to happen anytime soon?
Online Gambling in South Africa Should Be Legal, Says Analysts
Online Gambling Regulation South Africa News24
Under their current gambling laws, online gambling in South Africa is illegal. Unlike some countries in Africa that choose to simply ignore this industry, lawmakers here have outright banned it. It doesn’t make much sense, considering the huge number of individuals that still choose to bet online here.
It’s well-known that many of the top online gambling sites in Europe currently accept players in South Africa.
The Casino Association of South Africa (CASA) states it is neither for nor against online gambling legalization. Officials in this company recognize that there’s an issue, yet they can’t agree on whether or not making online gambling legal will benefit the country. Themba Ngobese, CEO of CASA, recently commented on the effects of online gambling legalization to the media.
Ngobese feels that lawmakers need to decide on either pursuing legal action against illegal online gambling operators or opening up the industry.
“This will also ensure that consumers are protected and that online operators contribute positively to the economy, as the current land-based licensed casinos do,” he said.
The DTI agree with the first opinion. Heads of this group want to see the government ramp on restrictions on this industry that punish individuals caught gambling online.
South Africa is working on new ways to generate revenue. If online gambling in South Africa becomes legal, the government will likely earn millions of revenue from taxes every single month.
Do you think this country should make online gambling legal? Let us know in the comments section below!