In a groundbreaking development poised to transform the gaming landscape in Nigeria, the Lagos government has entered into a memorandum of understanding (MoU) with the United Kingdom. This historic partnership aims to enhance the enforcement of gaming and lottery operations across international borders. The agreement was finalized during the prestigious International Association of Gaming Regulators (IAGR) and International Masters of Gaming Law (IMGL) conference held in Rome, signaling a potential revolution in the regulatory framework for gaming in Lagos while bolstering protections for consumers and operators alike.
Over the past two decades, Nigeria has witnessed a dramatic increase in internet penetration, fundamentally changing numerous sectors, including gambling. In the early 2000s, internet access was limited and considered a luxury. However, technological advancements and the proliferation of mobile devices have ushered in a new era of connectivity, resulting in over 100 million internet users in Nigeria by 2023—making it one of the largest online markets in Africa.
This surge in internet access has facilitated the rapid expansion of online gambling platforms, allowing operators to connect with a broader audience. However, it has also rendered the Nigerian market vulnerable to cross-border illegal gambling activities. Many international operators exploit regulatory loopholes to target Nigerian consumers, leading to significant revenue losses for local authorities and heightened risks for players.
The urgent need for enhanced enforcement measures has become increasingly evident. To combat the rise of illegal gambling, Nigeria must forge partnerships with international stakeholders to strengthen its regulatory framework, share crucial intelligence, and enforce laws against unscrupulous operators circumventing local regulations. Cross-jurisdictional cooperation is now essential to ensuring consumer protection, promoting fair play, and maintaining the integrity of the Nigerian gambling sector.
Leading these initiatives is the Lagos State Lotteries and Gaming Authority (LSLGA), Nigeria’s first gaming regulatory body. Under the leadership of CEO Mr. Bashir Are, the LSLGA is dedicated to aligning Lagos’s gaming industry with global best practices. Are, who also serves on the IAGR board of trustees, addressed the conference in Rome with a speech entitled “Navigating Borders: Cross-Jurisdictional Enforcement in Combatting Illegal Gambling.”
During his presentation, Are highlighted the significance of the MoU with the UK, calling it a vital step toward cleansing the Nigerian market. He remarked, “Illegal online gambling is a global challenge, with estimates indicating that this unregulated sector generates between $40 billion and $50 billion annually. These figures may vary due to the difficulty in tracking and reporting in unregulated markets. In some areas, illegal gambling can represent up to 20-30% of the total online gambling market, underscoring the pressing need for robust enforcement.”
As part of the MoU, Lagos and the UK will collaborate to exchange knowledge, expertise, and resources aimed at strengthening the gaming regulatory framework and addressing illegal lottery operations. This partnership allows Lagos to leverage the UK’s world-class regulatory systems, equipping the LSLGA to better monitor the industry and close regulatory gaps. Furthermore, the agreement ensures that operators legally licensed in the UK—known for its stringent gaming regulations—cannot engage in illegal activities within Lagos.
This agreement marks a significant milestone in Lagos State’s quest to become Africa’s premier gaming hub, attracting investment and cultivating a secure, responsible, and fair gaming environment. It also positions Lagos as an example of best practices in the global gaming industry, with the potential to stimulate substantial economic growth through increased tourism and investments.
In alignment with its broader vision, the LSLGA has taken the lead in establishing the Gaming Regulators Africa Forum (GRAF), aimed at fostering collaboration among African regulators to combat illegal gambling. With this initiative, Lagos State is once again at the forefront, promoting unity among African nations to support a secure and thriving gaming industry.
Are expressed gratitude for the unwavering support of Governor Babajide Sanwo-Olu and the Lagos State House of Assembly, emphasizing their commitment to establishing Lagos as Africa’s leading gaming hub. “This achievement would not have been possible without the vision and backing of our Governor and the Lagos State House of Assembly. Their leadership has been pivotal in ensuring that Lagos leads in gaming innovation and regulatory excellence in Africa,” he stated.
As Nigeria’s gaming industry evolves in response to technological advancements and growing internet penetration, the collaboration between the Lagos government and the UK is set to play a critical role in shaping the future of gaming and lottery operations in the country. With the LSLGA steering these efforts, Lagos is well on its way to emerging as a model of responsible gaming practices and regulatory excellence throughout Africa.
