Kenya’s Betting Control and Licensing Board (BCLB) has announced a new requirement for all online betting operators seeking licenses to deposit a security bond of KSh 200 million, coupled with a separate KSh 100 million nonrefundable licensing fee. These measures are outlined in the Gambling Control Bill, which has been approved by the National Assembly and is awaiting President William Ruto’s signature before becoming law.

The combined financial obligations total KSh 300 million per operator—amounting to approximately $1.6 million—and mark a substantial escalation in regulatory standards. This requirement specifically targets online gambling firms and national lottery operators, aimed at ensuring adequate capital reserves to protect punters and guarantee payout obligations.

Earlier, the Senate had proposed lowering the security bond to KSh 20 million, but the amendment was rejected by the National Assembly. The Assembly maintained that online operators serve a broader clientele and thus necessitate higher financial security compared to physical operations.

As of early 2025, Kenya has licensed approximately 118 online betting firms following a rapid industry expansion, despite previous closures of major players due to regulatory and tax pressures. Critics warn that the hefty financial requirements may lead smaller firms to exit the market and consolidate operations among larger players.

The government argues the reforms are necessary, citing prior incidents where operators failed to honor winnings. The hefty security deposits are intended to safeguard consumers and enhance sector accountability.

This development comes as part of a wider regulatory push that includes increased excise duties on betting stakes (now at 15 percent), a 30-day media blackout on gambling advertisements to curb youth exposure, and the revocation of licenses for at least 50 illegal or unlicensed platforms.

With social concerns mounting over youth addiction and financial hardship tied to online gaming, regulators and lawmakers have positioned Kenya’s Gambling Control Bill as a critical tool for both consumer protection and revenue enforcement. The new financial threshold for operators reflects a broader determination to tether the rapidly growing industry to stricter oversight and operational responsibility.