The South African Bookmakers Association (SABA) is demanding urgent actions to tackle the rising issue of illegal online gambling in South Africa. This industry now accounts for approximately 62% of the country’s gambling market, valued at around R55 billion.

Recent data indicates that over 16 million South Africans are using unlicensed and mostly foreign-based gambling websites, which often operate outside local regulations and consumer protection laws. These illegal platforms not only threaten legitimate businesses but also place vulnerable citizens such as recipients of social and student grants at significant financial and social risk.

To combat this increasing problem, SABA is collaborating with key government departments to create targeted interventions. This includes working with the Department of Social Development (DSD) and the Department of Higher Education and Training (DHET) to utilize existing databases of social grant and NSFAS beneficiaries. The goal is to automatically prevent these individuals from accessing online gambling sites, protecting funds meant for essential living and educational needs.

SABA is also pushing for technology-based enforcement tools like DNS blocking and geofencing, which have been successfully used in the United Kingdom. These methods would restrict access to illegal gambling sites based on the user’s location. Understanding the crucial role of financial institutions, SABA has partnered with the South African Banking Risk Information Centre (SABRIC) to explore strategies for blocking or flagging transactions between South African gamblers and foreign gambling operators.

This approach aims to cut off the financial support of illegal platforms. However, SABA has criticized the National Gambling Board (NGB) for its slow response to implementing digital enforcement measures and lack of cooperation in modernizing oversight. According to SABA’s chairperson, Coleman, the failure to coordinate digital enforcement efforts “undermines the fight against illegal gambling and increases risks for vulnerable South Africans.”

Despite offering help to the NGB in developing digital enforcement strategies, SABA reports that its proposals have been rejected. As a result, the association is seeking alternative solutions in collaboration with other sectors.

Coleman emphasized that banks are often used for unlawful transactions, highlighting the need for teamwork among regulators, financial institutions, and technology partners. “We cannot ignore the social impact of illegal online gambling especially when it threatens the livelihoods of those who rely on government support,” he stated.

With illegal gambling becoming deeply rooted in South Africa’s digital landscape, SABA’s push for stronger enforcement, improved technology, and better cooperation between agencies could be essential for protecting the economy and the country’s most vulnerable citizens.