Momentum Group Foundation has warned that as South African consumers become more financially strained, gambling revenue may continue to rise. Salem Nyati, Consumer Financial Education Specialist at Momentum Group Foundation, said most South Africans are not gambling more because the economy is doing well, but because money is tight.
He cited that South Africa’s gambling industry generated a record R75 billion in gross gambling revenue in 2024/25. He also noted that the betting segment has grown significantly, from R8.8 billion in 2019/20 to R23.7 billion by 2022/23. Nyati added that 39% of online punters say they are gambling more than a year ago, according to Trade Intelligence research.
He said the National Responsible Gambling Programme (NRGP) also recorded a 55% increase in people seeking help. Nyati said the situation is becoming more concerning as some consumers reportedly begin prioritizing betting over essentials such as groceries.
He argued that in an economy marked by rising food prices, mounting debt pressure, shrinking disposable income, and high unemployment—especially among young people—online betting is increasingly viewed as a quick shortcut to financial relief. He warned that the deeper issue is not only the scale of online gambling, but the mindset forming around it, particularly among financially vulnerable consumers and younger South Africans who are increasingly exposed to gambling culture online and through adults around them.
Nyati said gambling is often portrayed as glamorous, easy, and fast paying, with social media filled with stories about “overnight wins,” “big hits,” and high-risk lifestyles. He also pointed to how casinos can use promotional tactics—such as celebratory sounds and luxurious surroundings—to make wins appear more attractive.
According to Nyati, betting apps are available 24 hours a day, deposits can happen instantly, and online gambling has little “friction,” allowing people to start quickly with a smartphone and an “approve payment” tap in their banking app. He said what is often overlooked is that gambling platforms are not built to help people become financially secure; they are designed to keep players active. He cautioned that the longer people chase losses, the worse financial decisions can become over time, and that while understanding the risks may not stop gambling overnight, many will continue gambling despite those dangers.
Nyati said gambling becomes financially dangerous when it starts taking money meant for essentials such as rent, transport, groceries, school fees, or debit orders. He stressed that betting should never become part of a household survival plan. He said credit cards, overdrafts, loans, and borrowed money from friends and family can quickly trap people in a destructive cycle where they gamble not because they are enjoying it, but because they feel desperate to recover losses.
He added that, according to H2 Gambling Capital, around one in every six rand is spent with offshore operators that fall outside the reach of South African regulators. He said this means they pay no local tax and are unlikely to invest in local consumer protections. Nyati also said there are reportedly more than 2,000 unlicensed offshore gambling platforms targeting South African consumers.
Nyati concluded that while some people are drawn to gambling because of the adrenaline rush and the belief that a single clever move could change their financial position, there is a difference between calculated risk and reckless risk. He said those who want to take risks in hopes of improving their finances should consider healthier alternatives, start small, stay realistic, and consult a qualified professional such as a financial adviser to help build and protect long-term financial goals.
