The Gambling Control Act, 2025 (Act) was enacted by Parliament on 7 August 2025, and came into force on 26 August 2025. The Act replaced the Betting, Lotteries and Gaming Act framework and is inter alia aimed at regulating emerging forms of gambling including online gambling and protecting the public from social harms associated with gambling.
Notably, the Act establishes the Gambling Regulatory Authority (GRA) to replace the Betting Control and Licensing Board (BCLB). The GRA will now oversee the regulation of all gambling activities that are regulated under the Act. In this regard, the GRA recently issued a Transitional Notice which sets out transitional guidelines that have either already been implemented or are currently in the process of being implemented. The key provisions in the transitional guidelines include:
- Formulation of Regulations: the GRA is in the process of formulating new regulations to operationalise the Gambling Control Act, 2025. It is expected that these regulations will provide for a more detailed framework on licensing, compliance and operations of gambling entities.
- Moratorium on processing of licences: The Transitional Notice indicates that the processing of annual licence applications was suspended for all pending applications which were being considered by the BCLB at the time of the enactment of the Act.
- End of transition period: The transition to the new operational framework under the Act is scheduled to be completed by the end of February 2026. Further communication is to be issued on the resumption of licensing activities under the Act.
Brief Analysis of the Relevant Provisions of the Act
The other key provisions of the Act and their practical implications for operators, investors, county governments and consumers are as follows:
The Roles of National Government and County Governments
The Act establishes a two-step compliance model for gambling activities to be overseen by both the National Government and county governments.
The role of the National Government, through the GRA, will be to set policy, issue licences for national activities (including national lotteries and online gambling), enforce compliance, conduct Anti-Money Laundering (AML) and security inspections, and run national monitoring and research programmes. The GRA is required to work with counties, but will be in charge of regulation at the national level.
The role of county governments includes implementing the Act at county level by issuing trade permits for gambling premises, monitoring and evaluating licensed activities at the county level, handling local complaints and arbitration, and applying local conditions to permits (location suitability, premises suitability etc). As such, county governments will regulate the establishment and location of gambling premises, while the GRA oversees the licensing of the gambling activity itself.
Practically, operators will therefore need both a national licence (from the GRA) for the relevant gambling activity and a county trade permit for each physical premises.
Licensing Requirements, Obligations and Licence Types
The Act provides for a wide range of licences the GRA will issue, including table games and slot operations (casinos), national and public lotteries, bookmaking, totalisators, pool betting, prize competitions, bingo, online gambling (bookmaker, lottery, casino), manufacture/ sale/ testing of gambling equipment, gambling software/ platform providers, and key gambling employees.
One of the key eligibility and application requirements include that applicants must be a body corporate with at least 30% of shares held by Kenyan citizens. Operators must also maintain a local bank account in Kenya for all gambling monies that they handle.
Applications must be accompanied by the prescribed fee, proof of required gambling capital, security (insurance bond or bank guarantee), declarations (as per the Act), proximity information relative to learning institutions, and any other materials the GRA requires. Licensees will be required to display licences publicly (and online operators must display their licence on their platform).
Further, every licence applicant must provide sufficient evidence of possessing or commanding the prescribed gambling capital when applying. Additionally, all gambling machines must be certified, have import certificates, be registered and undergo standards verification periodically.
The GRA can investigate, require remedial action, suspend or revoke licences, and inform the public of suspensions via Gazette and national media. Appeals from licensing decisions go to the Gambling Appeals Tribunal.
Online Gambling – Dedicated Protections and Technical Controls
Online gambling is closely regulated under the Act. The Act creates separate online licences with respect to online bookmaker, online lottery, and online casino, and requires applicants to submit a proposed gambling control system for approval. Any online operator must run an approved control system covering online security, payments, under-age protection, responsible advertising, AML safeguards and data protection.
The GRA will also mandate real-time monitoring and require operators to provide platform details, server locations and connectivity information. Mobile operators must show network connectivity links. Operators must also maintain a customer care centre in Kenya.
Foreign operators may only be licensed if they are registered in Kenya, have a physical address in Kenya and meet GRA requirements (including audited accounts). Any unlicensed gambling operations in Kenya will constitute an offence and attract a fine of up to KES 50 million.
The Act also establishes the ‘Remote platform authorisation’ approval by the National Government, for entities to run the technology that provides online gambling work, like websites that host betting companies, systems that process payments and bets, or tools for player checks and fraud prevention.
Advertising of Gambling Activities
Advertising of gambling activities is also highly regulated and must be approved by the GRA. The Act prohibits enticing advertisement, celebrity/ lifestyle advertisemets that glamorise gambling, and advertisements close to learning institutions. Advertisements must also:
- indicate gambling’s addictive nature, promote responsible play, prohibit children, and avoid misleading claims;
- not be broadcast on TV/ radio between 06:00 and 22:00 (unless during live sporting events); and
- devote 20% of aired advertising time to responsible gambling messaging.
Violations attract severe sanctions including fines and prison terms (the Act provides heavy maximum penalties for advertising breaches).
Establishment of the Gambling Appeals Tribunal
The Act establishes a specialist Gambling Appeals Tribunal (Chair appointed from High Court of Kenya (High Court) qualified persons, members appointed by Judicial Service Commission (JSC) and Cabinet Secretary). The Tribunal will hear appeals from decisions of the GRA or county governments, disputes arising from gambling transactions, functionality complaints about machines/ equipment, and other prescribed matters. Tribunal decisions may be appealed to the High Court within 14 days. Operational rules, panels and Secretariat support are set out in the Act and regulations, which will be enacted.
Offences and Penalties Under the Act
The Act contains a comprehensive set of offences: operating without a licence or permit; false declarations; failure to keep books; unauthorised advertising; unlicensed pool betting and lotteries; inducements and providing credit to players; and a range of offences specific to online operations (eg, breaching minimum bet provisions).
The applicable penalties vary with most of the offences carrying fines up to KES 1 million or imprisonment up to one year, while more serious breaches (advertising contraventions, certain lottery abuses) attract much higher penalties including fines up to KES 20 million and long custodial terms. Given this, operators must prioritise compliance, AML controls and transparent bookkeeping.
Conclusion
The Act requires the Cabinet Secretary responsible for matters relating to gambling to consult with the GRA and prescribe guidelines of practice on the manner in which facilities for gambling are operated under the Act. The Act also requires the Cabinet Secretary to, in consultation with the Board of the GRA, make regulations generally for the better carrying into effect of any provisions under the Act.
It is expected that some of the compliance requirements under the Act will become clearer once the regulations and guidelines are issued.
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