The Nairobi City Council Assembly enacted the Act on 6 May 2021 to address legal compliance in gaming. It includes various forms of gaming as eligible for prize competitions and public lotteries, and imposes a 10% entertainment tax on gross proceeds of betting, lottery, and gaming activities. The Act mandates a license for operating betting, lottery, and gaming activities, with different fees depending on the type of premises. For betting premises, the license grant fee is KSh600,000 (£3,929/€4,567) with an application and renewal fee of KSh10,000 (£65/€76). For gaming and casino premises, the license grant fee is KSh1,500,000 (£9,825/€11,418), while the application and renewal fee is KSh10,000. The cost of a license for a public lottery is KSh4,000,000 (£26,199/€30,449) with an additional KSh1,000,000 (£6,549/€7,612) application and renewal fee. Applications must be submitted to the Nairobi City County Betting, Lotteries and Gaming Control Board director, and licenses are valid for one year.
The Board, established under the Act, will oversee and promote proper gaming procedures within the county. It consists of a non-executive chairperson, a chief officer, a director, and six trade and finance persons. The non-executive chairperson and the trade and finance persons serve a three-year term before being eligible for reelection. Nairobi City County Deputy Governor H.E Ann Kananu stated that the aim of this Act is to implement national government policies, standards, and norms related to betting, lotteries, and gaming in the county. It also establishes procedures for regulation, licensing, monitoring, and evaluation of betting, lotteries, and gaming activities in the city.
In addition, the Kenyan Treasury recently reinstated a 20% excise tax on betting stakes through the 2021 Finance Bill. This tax has been controversial and led to the departure of major operators, such as Sportpesa and Betin, from the Kenyan market.
