Ethiopia: gambling regulation and licensing
- Online sports bettingProhibited
- Online casinoProhibited
- iLotteryMonopoly
- Land-based (reference)Regulated
- Regulator
- Ethiopian Lottery Service
- Headline tax
- Not yet verified
- Licence required
- Yes
- Last verified
- 23 Sept 2026
Summary
Ethiopia has no licensed private betting market at present. The law treats every game of chance as a lottery. Proclamation 535/2007 and Council of Ministers Regulation 160/2009 reserve lotto, toto, instant, number, multiple-prize and modern bingo lotteries to the state lottery, now the Ethiopian Lottery Service (ELS), and let any person run sport betting, raffles, promotional lotteries and conventional bingo under a permit. Proclamation 1263/2021 gives the power to issue, suspend and revoke lottery permits to the Ministry of Revenues, and the ELS exercises it. Sports betting was licensed under Directive 856/2014 of August 2021: a Birr 500,000 licence fee, Birr 100,000 annual renewal, a Birr 1.5 million bank guarantee, a 15% commission on gross sales paid monthly, a 0.5% social contribution, 15% withholding on winnings of Birr 1,000 or more and a minimum age of 21. That market closed in December 2025. On 4 December the ELS suspended 22 operators after the national intelligence service reported the concealment of more than Birr 100 billion owed to the government, and on 15 December it revoked every sports betting licence, ordering operators to stop taking bets and banks and payment providers to stop processing their sales. In July 2026 the ELS said no sports betting operator holds a licence, and in August the government reported action against 38 betting businesses. Casino games have no permit category, and any lottery activity without a permit carries a fine of Birr 50,000 to 100,000 and three to five years' imprisonment. The only lawful online gambling is the ELS's own lottery, sold through ethiolottery.et, telebirr and USSD. A relaunch under a new framework is reported to be in preparation, but no instrument has been published.
Common pitfalls
Treating Directive 856/2014 as a live licensing route: every licence under it was revoked on 15 December 2025 and none has been issued since. Using the old name: the National Lottery Administration now operates as the Ethiopian Lottery Service. Reading the licensing power as the lottery's own: Proclamation 1263/2021 gives it to the Ministry of Revenues, which the ELS exercises in practice. Calling the 15% a gaming tax: it is a commission on gross sales before prizes, on top of the 15% withheld from winners. Assuming offshore sites are tolerated: the ELS treats any betting offered in Ethiopia as unlicensed and the government has frozen betting firms' bank accounts.
Key facts
- Regulator
- Ethiopian Lottery Service (ELS)
- Regulator type
- Lottery monopoly
- Headline tax
- Not yet verified
- Licence required
- Yes
- Minimum age
- 18+
- Tax base
- Sports betting licensees paid the regulator a commission of 15% of gross sales income, defined as sales before prizes, by the fifteenth of each following month, plus a 0.5% social contribution on gross income (Directive 856/2014 articles 2(12), 11, 13). The Proclamation sets the 15% commission on forecast sales for tombola and sport betting, on prize value for promotional lotteries and on periodic revenue for bingo (article 19). Winnings of Birr 1,000 or more carry 15% income tax under Income Tax Proclamation 979/2016 article 57, withheld by the licensee. No separate gaming tax on gross gaming revenue exists in the sources read. With every sports betting licence revoked on 15 December 2025, no operator currently pays the sports betting commission.
Legal framework
Primary statutes
National Lottery Administration Re-establishment Proclamation No. 535/2007
የብሔራዊ ሎተሪ አስተዳደርን እንደገና ለማቋቋም የወጣ አዋጅ ቁጥር 535/1999
- Year
- 2007
- In force
- Yes
- Summary
- Re-establishes the state lottery as an autonomous federal agency to raise development revenue through lottery activities and to supervise them. 'Lottery' covers tombola or raffle, lotto, toto, instant, number, multiple-prize and promotional lotteries, bingo and sport betting lottery (article 2). The state lottery has the exclusive right to run lotto, toto, instant, number, multiple-prize and modern bingo lotteries and may run them with joint-venture partners; any person may run tombola or raffle, sport betting lottery, conventional bingo and promotional lotteries under its permit (articles 12, 13). Permits for activities lasting over a year are renewed each fiscal year (article 15); the administration must control chance activities conducted through internet technology or any other means (article 16). It collects a 15% commission on forecast ticket sales for tombola and sport betting, on prize value for promotional lotteries and on periodic revenue for bingo, with a 20% per month late fine capped at 100% (article 19). Unlicensed lottery activity carries Birr 50,000 to 100,000 and three to five years' imprisonment; letting premises for it or obstructing inspectors carries Birr 10,000 to 20,000 and one to two years (article 20). Repeals the unpublished Proclamation 510/2007.
የሚኒስትሮች ምክር ቤት ደንብ ቁጥር 160/2001
- Year
- 2009
- In force
- Yes
- Summary
- Restates the lottery definitions and, according to the Ministry of Justice, carries the permit conditions (from article 12), the prohibitions on operating without a permit or transferring one (article 17), the criminal penalties taken from the Proclamation (article 20) and administrative suspension or revocation for permits obtained by false evidence, used for crime or not renewed each budget year. The Ministry of Justice treats it as the operative instrument alongside the Proclamation, which it did not expressly repeal, and notes the Proclamation's criminal penalties remain in force.
Definition of Powers and Duties of the Executive Organs Proclamation No. 1263/2021
የአስፈጻሚ አካላትን ሥልጣንና ተግባር መወሰኛ አዋጅ ቁጥር 1263/2014
- Year
- 2022
- In force
- Yes
- Summary
- Gives the Ministry of Revenues the powers to issue permits for lottery activity and to supervise, suspend and revoke them, to determine the type and specification of lottery equipment and permit its import, and to control illegal lottery activities (article 27(1)(i) to (k)). Lists the Ethiopian Lottery Service (National Lottery Service in the English text) among the public enterprises administered by the Public Enterprises Holding and Administration (article 53(3)).
Secondary instruments
Sports Betting Lottery Licensing Directive No. 856/2014
የስፖርት ውርርድ ሎተሪ ፈቃድ አሰጣጥ መመሪያ ቁጥር 856/2014
- Year
- 2021
- In force
- Yes
- Summary
- Issued by the Minister of Revenues under article 21 of Regulation 160/2009 and applicable throughout Ethiopia (article 3). Applicants file a business plan, premises title or lease, bank-certified working capital, company documents, the betting rules and sources for results, a social-support agreement with a legal sports body and an unconditional bank guarantee of Birr 1,500,000 (article 4). Licence fee Birr 500,000 on first issue and Birr 100,000 on annual renewal (article 8); renewal falls between 1 Hidar and 30 Tahsas each year (article 7) and an unrenewed licence is revoked after 30 Tir (article 6). Operators pay the administration 15% of gross sales income, meaning sales before prizes, by the fifteenth of the following month (articles 2(12), 11), withhold 15% income tax on winnings of Birr 1,000 or more under Income Tax Proclamation 979/2016 article 57 (article 12) and contribute 0.5% of gross income, half to sports bodies and half through the administration (article 13). Prizes are paid within 15 days, winning tickets are valid for 30 days and no bettor may win more than Birr 1,000,000 on one game (article 9). Players must be 21 or over; no shops in bars, groceries or restaurants or within 500 metres of schools and religious institutions, and no betting by students in uniform (articles 10, 16). Late payment attracts 20%, then 50% after two months, and revocation with 100% after three (article 17). All licences issued under it were revoked on 15 December 2025.
Key amendments
- 2 Aug 2021Directive 856/2014 replaces the earlier sports betting licensing directive with a Birr 500,000 licence fee, a Birr 1.5 million bank guarantee, a 15% commission on gross sales, a 0.5% social contribution and a minimum age of 21.
- 25 Jan 2022Proclamation 1263/2021 vests lottery permit powers in the Ministry of Revenues (article 27(1)(i) to (k)) and places the Ethiopian Lottery Service among the public enterprises administered by the Public Enterprises Holding and Administration (article 53(3)).
Pending legislation
New regulatory framework for a relaunch of sports betting and digital lotteries
- Stage
- In preparation by the ELS; no draft directive or licensing round published as of September 2026
- What it changes
- Would reopen licensed sports betting and digital lotteries under robust regulatory frameworks and modern digital technology, according to the ELS as reported by Capital; the ELS chief executive told Parliament in March 2026 that the government had hired foreign advisers and was working with Ethiopian Investment Holdings on the reform.
Licensing
- Licence required
- Yes
- Application window
- Closed
- Local establishment required
- Yes
- Local server required
- Not yet verified
- Bank guarantee or bond
- Unconditional bank guarantee of Birr 1,500,000 for sports betting licensees, covering commission, the social contribution, income tax and prizes (Directive 856/2014 articles 4(2) and 9(6))
- Certification requirements
- Betting rules, result sources and prize structure submitted with the application; system access code provided to the regulator's inspectors on request (Directive 856/2014 articles 4, 9(9), 14(2))
- Barriers to entry
- There is no route into sports betting today: the ELS revoked every licence on 15 December 2025 and has issued none since. When the directive was live, an entrant needed Birr 500,000 up front, a Birr 1.5 million bank guarantee, premises away from bars, schools and places of worship, and paid 15% of gross sales to the regulator before prizes. Every other lottery product except raffles, promotional lotteries and conventional bingo is the state lottery's monopoly, and casino games have no route at all.
Licence types
Sports betting lottery licence (none in force since 15 December 2025)
- Scope
- Betting on indoor or outdoor sports competitions, in shops or by electronic payment, under a permit. Every licence was revoked on 15 December 2025 and the ELS stated on 22 July 2026 that no operator holds one.
- Term
- One year, renewed annually between 1 Hidar and 30 Tahsas; revoked if not renewed by 30 Tir (Directive 856/2014 articles 2(6), 6(2), 7(1))
- Application fee
- ETB 500,000 as of 2 Aug 2021
- Annual fee
- ETB 100,000 as of 2 Aug 2021
- Fee basis
- Birr 500,000 on issue, Birr 100,000 on each renewal, plus 15% of gross sales as commission and a 0.5% social contribution
- Renewal terms
- Renewal requires proof of commission and social contribution payments, a renewed bank guarantee, a renewed trade licence and tax clearance (article 7(2)); three months of unpaid commission leads to revocation and a 100% surcharge (article 17(3)).
Tombola or raffle, promotional lottery and conventional bingo permit
- Scope
- Open to any person under Proclamation 535/2007 article 12(3) on application with the prescribed evidence.
- Term
- Per activity; activities lasting over a year are renewed each fiscal year
- Fee basis
- Fees set by Ministry directive; 15% commission on forecast ticket sales (tombola), on prize value including income tax (promotional) or on periodic revenue (bingo)
- Renewal terms
- Renewed at the start of each fiscal year (article 15)
Taxation
- Headline GGR tax
- Not yet verified
- Effective date
- 2 Aug 2021
- Turnover tax
- 15%
- Player winnings tax
- 15% on sports betting winnings of Birr 1,000 or more (Income Tax Proclamation 979/2016 article 57, as applied by Directive 856/2014 article 12)
- Withholding mechanism
- Withheld by the licensee and remitted through the administration to the tax authority
- Tax base
- Sports betting licensees paid the regulator a commission of 15% of gross sales income, defined as sales before prizes, by the fifteenth of each following month, plus a 0.5% social contribution on gross income (Directive 856/2014 articles 2(12), 11, 13). The Proclamation sets the 15% commission on forecast sales for tombola and sport betting, on prize value for promotional lotteries and on periodic revenue for bingo (article 19). Winnings of Birr 1,000 or more carry 15% income tax under Income Tax Proclamation 979/2016 article 57, withheld by the licensee. No separate gaming tax on gross gaming revenue exists in the sources read. With every sports betting licence revoked on 15 December 2025, no operator currently pays the sports betting commission.
Earmarked levies
- Social responsibility contribution: 0.5% of gross sports betting income (0.25% to sports clubs, institutions or social causes under an agreement with the operator, and 0.25% paid monthly to the administration to support institutions working in sport and related fields)
Compliance
- Minimum age
- 18+
- National self-exclusion
- Not yet verified
- KYC requirements
- Sports betting players had to be 21 or over (Directive 856/2014 articles 10 and 16(1)) and students in school uniform could not bet (article 16(6)); the ELS marks its own lotteries as prohibited to under-18s
- Stake limits
- Maximum win of Birr 1,000,000 for one bettor on one game; winning tickets valid for 30 days; prizes paid within 15 days of the result (Directive 856/2014 article 9)
- Reporting obligations
- Monthly commission and withholding-tax payment by the fifteenth of the following month; books and documents produced whenever the administration asks; branch openings and closures notified immediately (Directive 856/2014 articles 9, 11)
- Game content restrictions
- No other games of chance at a sports betting venue (Directive 856/2014 article 9(14)); lotto, toto, instant, number, multiple-prize and modern bingo lotteries reserved to the state lottery
Minimum age by vertical
- Online sports betting: 21+
- iLottery: 18+
Advertising
- Advertising permitted
- Not yet verified
Restrictions
- Sports betting shops may not operate in bars, groceries, restaurants or similar premises, or within 500 metres of schools and religious institutions (Directive 856/2014 article 16(3) and (4)).
- No sports betting operator is licensed, and on 22 July 2026 the ELS warned the public against betting through unlicensed services, websites, social media pages or other payment channels, asking for any website, agent or individual offering betting to be reported to its 9695 hotline.
Payments
- Credit card ban
- Not yet verified
- Crypto stance
- Not yet verified
- Local rails
- telebirr
- Payment blocking regime
- Since 15 December 2025 the ELS has instructed banks, payment instrument issuers and payment system operators not to let betting organisations carry out sales through them, and ordered operators to close all deposit gateways. In August 2026 the government reported freezing the bank accounts of 38 betting enterprises.
Enforcement
- ISP blocking
- Not yet verified
- DNS blocking
- Not yet verified
- Payment blocking
- Yes
- App store takedowns
- Not yet verified
- Administrative penalties
- Permit suspension or revocation; late commission surcharges of 20% a month up to 100% (Proclamation article 19) or 20%, then 50%, then revocation with 100% (Directive 856/2014 article 17); Birr 10,000 for failing to sign the operating contract on time (article 18(2))
- Criminal penalties
- Birr 50,000 to 100,000 and three to five years' imprisonment for lottery activity without a valid permit; Birr 10,000 to 20,000 and one to two years for letting premises for illegal lottery activity or obstructing inspectors (Proclamation 535/2007 article 20)
- Operator liability
- Criminal under Proclamation 535/2007 article 20 and administrative under article 14; the regulator may order unauthorised activity to stop and, with a court warrant, enter premises (article 16)
Notable actions
- 22 sports betting operators, including Dash Bet, Walia Sport, Exnet Solution (2X Bet), Addis Telco Service (Betika Sport Betting) and Vamos Entertainment4 Dec 2025
Licences suspended pending a criminal investigation, under Proclamation 535/2007 article 14(2)(c), on information from the National Intelligence and Security Service after owners were detained over the alleged concealment of more than Birr 100 billion owed to the government
- All licensed sports betting organisations15 Dec 2025
Every sports betting licence revoked; operators ordered to stop all betting and preserve server, financial and user records; banks and payment providers told to stop processing their sales
- 38 betting enterprises6 Aug 2026
Owners detained and bank accounts frozen for concealing customer data to evade tax, hide revenue and move funds illicitly, as part of a wider government anti-corruption campaign
Market data
- Online GGR
- Not yet verified
Timeline
23 Jul 2007
Proclamation 535/2007 re-establishes the National Lottery Administration and sets the permit, commission and penalty framework.
4 Feb 2009
Council of Ministers Regulation 160/2009 re-establishes the administration following a business-process review.
Jan 2020
The National Lottery Administration temporarily stops issuing new sports betting licences, reporting 43 licences issued of which 30 were operating.
2 Aug 2021
Minister of Revenues signs Sports Betting Lottery Licensing Directive 856/2014.
25 Jan 2022
Proclamation 1263/2021 vests lottery permit powers in the Ministry of Revenues and lists the Ethiopian Lottery Service as a public enterprise.
26 Dec 2022
Directive 856/2014 registered and published by the Ministry of Justice.
9 Jul 2025
Ministry of Justice explainer on the lottery framework notes sports betting is temporarily prohibited in Addis Ababa.
4 Dec 2025
ELS suspends the licences of 22 sports betting operators on information from the National Intelligence and Security Service.
15 Dec 2025
ELS revokes every sports betting licence and orders banks and payment providers to stop processing betting operators' sales.
6 Mar 2026
At a parliamentary committee hearing on the draft sports proclamation, the ELS chief executive objects to a clause on sports betting and describes a reform under way with foreign advisers.
21 Apr 2026
House of Peoples' Representatives passes the Federal Sports Development and Administration Proclamation 1413/2026.
22 Jul 2026
ELS states that no sports betting organisation holds a legal licence and warns the public against betting through unlicensed websites and social media pages.
6 Aug 2026
Government Communication Service reports action against 38 betting enterprises, with owners detained and bank accounts frozen.
20 Sept 2026
Capital reports the ELS is preparing a relaunch of sports betting and digital lotteries under stricter rules.
Outlook
The question for the next year is whether and on what terms sports betting reopens. In March 2026 the ELS chief executive told a parliamentary committee that the government had hired foreign advisers and was working with Ethiopian Investment Holdings on a new supervisory system, and Capital reported in September 2026 that the ELS is preparing to relaunch sports betting and digital lotteries under robust regulatory frameworks and modern digital technology. No draft directive or licensing round has been published. The Federal Sports Development and Administration Proclamation 1413/2026, passed on 21 April 2026, drew ELS objections at committee stage over a draft clause giving the Ministry of Culture and Sports a role in sports betting; the enacted text was not available to check. Enforcement against former licensees continued in August 2026.
Frequently asked questions
- Is sports betting legal in Ethiopia?
- Not at present. The Ethiopian Lottery Service revoked every sports betting licence on 15 December 2025 and stated on 22 July 2026 that no sports betting organisation holds a legal licence. Any lottery activity, which includes sport betting, without a valid permit is punishable by Birr 50,000 to 100,000 and three to five years' imprisonment under Proclamation 535/2007. The statute still provides for sport betting permits, and a relaunch is reported to be in preparation.
- Who regulates gambling in Ethiopia?
- The Ethiopian Lottery Service, formerly the National Lottery Administration, runs the state lotteries and issues and revokes permits. Proclamation 1263/2021 vests the lottery permit power in the Ministry of Revenues, whose Minister signed the sports betting licensing directive.
- What did an Ethiopian sports betting licence require?
- Under Directive 856/2014: a Birr 500,000 licence fee and Birr 100,000 on each annual renewal, a Birr 1.5 million unconditional bank guarantee, a 15% commission on gross sales paid monthly, a 0.5% social contribution, a minimum player age of 21 and no shops in bars or within 500 metres of schools and religious institutions. No licence under it is in force.
- How are betting winnings taxed in Ethiopia?
- Winnings of Birr 1,000 or more are taxed at 15% under article 57 of Income Tax Proclamation 979/2016, withheld by the licensee at payout under Directive 856/2014.
- Can an online casino be licensed in Ethiopia?
- No. There is no permit category for casino games, and any chance activity without a permit is a criminal offence under Proclamation 535/2007.
- What online gambling is lawful in Ethiopia?
- Only the Ethiopian Lottery Service's own lotteries and instant games, sold through ethiolottery.et, telebirr and USSD *8989#. The ELS marks them as prohibited to under-18s.
Sources
- National Lottery Administration Re-establishment Proclamation No. 535/2007, Federal Negarit Gazeta 13th Year No. 41, 23 July 2007 (bilingual Amharic and English)
Federal Negarit Gazeta, via the Ministry of Justice law portal
Tier 1Accessed 23 Sept 2026Published 23 Jul 2007 - National Lottery Administration Re-establishment Council of Ministers Regulation No. 160/2009, Federal Negarit Gazeta 15th Year No. 21, 4 February 2009
Federal Negarit Gazeta, via the Ministry of Justice law portal
The portal copy is a scanned image without a text layer. Its operative content is recorded here as the Ministry of Justice summarises it (source et-moj-lottery-framework-2025).
Tier 1Accessed 23 Sept 2026Published 4 Feb 2009 - Sports Betting Lottery Licensing Directive No. 856/2014 (Ministry of Revenues, signed Addis Ababa 26 Hamle 2013 EC, 2 August 2021; registered by the Ministry of Justice 17 Tahsas 2015 EC, 26 December 2022)
Ministry of Revenues, via the Ministry of Justice directive register
The preamble says the directive amends Sports Betting Lottery Licensing Directive No. 83/2005, while article 19 repeals a directive numbered 85/2005. The ELS press statement of 4 December 2025 (source et-els-suspension-2025) cites the licensing directive as No. 172/2013; that appears to be the Ministry's own number for this directive, signed in Hamle 2013 EC, but no document confirming the match was found.
Tier 1Accessed 23 Sept 2026Published 2 Aug 2021 - Ministry of Justice, 'The Legal Framework of Lottery Operations in Ethiopia' (Amharic explainer dated 1 Hamle 2017 EC, 8 July 2025; posted 9 July 2025)
Federal Ministry of Justice
Tier 1Accessed 23 Sept 2026Published 9 Jul 2025 - Definition of Powers and Duties of the Executive Organs Proclamation No. 1263/2021, Federal Negarit Gazette No. 4, 25 January 2022 (bilingual Amharic and English)
Federal Negarit Gazeta, via the Ministry of Justice law portal
Tier 1Accessed 23 Sept 2026Published 25 Jan 2022 - Ethiopian Lottery Service (ELS), official website
Ethiopian Lottery Service
Tier 1Accessed 23 Sept 2026 - Press statement: licences of 22 sports betting organisations suspended (Amharic, 4 December 2025)
Ethiopian Lottery Service (official Telegram channel)
Tier 1Accessed 23 Sept 2026Published 4 Dec 2025 - List of the 22 sports betting organisations whose licences were suspended (Amharic, 4 December 2025)
Ethiopian Lottery Service (official Telegram channel)
Tier 1Accessed 23 Sept 2026Published 4 Dec 2025 - Press statement: licences of all sports betting organisations revoked (Amharic, image of the signed statement, 15 December 2025)
Ethiopian Lottery Service (official Telegram channel)
Tier 1Accessed 23 Sept 2026Published 15 Dec 2025 - Ethiopian Broadcasting Corporation, 'Licences of all sports betting organisations revoked' (Amharic, 6 Tahsas 2018 EC, 15 December 2025)
Ethiopian Broadcasting Corporation (state broadcaster)
Tier 2Accessed 23 Sept 2026Published 15 Dec 2025 - Press statement: no sports betting organisation holds a legal licence in Ethiopia (Amharic, image of the statement, 22 July 2026)
Ethiopian Lottery Service (official Telegram channel)
Tier 1Accessed 23 Sept 2026Published 22 Jul 2026 - ELS promotion of its Birr 60 million lottery, sold through ethiolottery.et, telebirr and *8989#, marked under 18 prohibited (Amharic, 18 December 2025)
Ethiopian Lottery Service (official Telegram channel)
Tier 1Accessed 23 Sept 2026Published 18 Dec 2025 - Ethio Lottery, the Ethiopian Lottery Service online lottery platform (Amharic)
Ethiopian Lottery Service, with Tamcon Software Solutions
Tier 1Accessed 23 Sept 2026 - Government Takes Decisive Action to Tackle Corruption and Illegality (6 August 2026)
Government Communication Service
Tier 2Accessed 23 Sept 2026Published 6 Aug 2026 - Ethiopian News Agency, 'Licensing of sports betting temporarily suspended' (Amharic, Tir 2012 EC, January 2020)
Ethiopian News Agency (state news agency)
Tier 2Accessed 23 Sept 2026Published Jan 2020 - House of Peoples' Representatives, 'Federal Sports Development and Administration Proclamation passed unanimously' (Amharic, 13 Miyazya 2018 EC, 21 April 2026)
House of Peoples' Representatives
Tier 2Accessed 23 Sept 2026Published 21 Apr 2026 - Tier 3Accessed 23 Sept 2026Published 7 Mar 2026
- Ethiopia prepares strict relaunch for sports betting, digital lotteries (20 September 2026)
Capital (Addis Ababa weekly)
Tier 3Accessed 23 Sept 2026Published 20 Sept 2026