When taxi driver Sipho M placed his first online bet during the Covid-19 lockdown, he thought he’d found a clever way to stretch his vanishing income. The casinos were closed, cash was tight, and everyone around him seemed to be doing it — just a quick wager on a football match.

Today, Sipho is part of a national phenomenon that has quietly reshaped South Africa’s economy and culture. In the past financial year alone, South Africans wagered a record R1.5 trillion — up from R1.1 trillion the year before.

According to the National Gambling Board (NGB), gambling operators increased their gross gambling revenue from R59 billion to R75 billion, while participation has doubled to 65.7 percent of adults since 2017. Gambling now contributes 0.83 percent to the country’s GDP.

IOL also contacted Lungile Dukwana, the acting chief executive officer of the National Gambling Board, who said that these figures mark both an economic milestone and a social warning.

“In 2023/24, gambling turnover hit the R1 trillion mark and gross gambling revenue was almost R60 billion,” Dukwana told IOL. “This trend continued to increase in 2024/25 for a number of reasons.”

The pandemic that never ended

Dukwana says the industry’s current shape was forged during Covid-19.

“During the pandemic, when the land-based fraternity was closed or limited, online betting was the only available alternative,” he explains. “We then saw online betting on sport and other contingencies taking off — and that growth has remained consistently high compared to other modes.”

The NGB’s research shows how rapidly gambling has spread through society. In 2017, just over three in 10 South Africans gambled. By 2023/24, that number had doubled to nearly two-thirds of adults. Dukwana attributes the shift largely to accessibility.

“There are transaction costs associated with going to a casino — fuel, time away from home or work — but online gambling does not face such costs,” he says.

“The rise in gambling advertising may persuade people to gamble, with the belief that they will win big.”

A booming economy built on risk

Gambling’s economic footprint is undeniable. The industry creates jobs, generates tax revenue and supports provincial economies. But Dukwana insists the Board is not blinded by the boom.

“Whilst gambling now contributes 0.83 percent to our GDP, it should be balanced with the reduction of social harm to create a thriving economy and society,” he cautions.

He warns that gambling has become a coping mechanism for many South Africans struggling with economic hardship. “We are aware that some parts of the population are driven to gamble when facing economic hardship,” Dukwana said.

“Given an environment of widespread gambling advertising, low-income individuals, the unemployed and social-grant recipients may be tempted to gamble to supplement their incomes.”

That temptation, he adds, often turns into desperation.

“People who develop gambling disorders may displace earnings away from household essentials. That is detrimental to the household and ultimately to society at large.”

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Law enforcement joins the table

But beyond the legal industry’s bright lights, an underground world continues to flourish. In March 2025, the Hawks’ Priority Crime Specialised Investigation unit secured a forfeiture order against an unlicensed gambling operation in Pretoria.

“The success of this operation underscores the unwavering commitment of the Priority Crime Specialised Investigation team in safeguarding our communities against illegal gambling,” Lieutenant Colonel Lloyd Ramovha, Hawks spokesperson in Gauteng, said at the time, following the ruling.

A Zimbabwean national was arrested following a raid on an internet café in North Park Mall. Investigators seized electronic equipment and R11,130 in cash, all forfeited to the State. Ramovha said the Hawks, working with the Gauteng Gambling Board, will “continue targeting unlicensed gambling outlets and online platforms that undermine the law and exploit vulnerable people.”

His warning echoes the NGB’s own concerns. “There are consequences of participating in unlawful online gambling operations,” Dukwana stressed.

“These platforms are illegal and pose serious risks to consumers — including fraud, unfair practices and no recourse in the event of disputes.”

Political alarm bells

In Parliament, the NGB’s latest report has triggered political alarm. On 15 October, RISE Mzansi MP Makashule Gana called the surge in gambling spending “a national public-health crisis.”

“South Africans spent R1.5 trillion during the 2024/25 financial year on gambling activities,” Gana said. “That’s up from R1.1 trillion the previous year. Gambling operators have increased their gross revenue from R59 billion to R75 billion — yet the state collects only R5.8 billion in taxes.”

Gana accused the government of complacency.

“The Minister of Trade, Industry and Competition can no longer sit idle with the crisis that is unfolding before us. While lives and livelihoods are destroyed, operators are smiling their way to the bank,” he said.

RISE Mzansi has called for gambling-advertising limits, a crackdown on illegal online betting, and the use of gambling-tax revenue to fund rehabilitation and awareness programmes. “We will stop at nothing until there are gambling reforms in South Africa,” Gana vowed.

The moral dimension

Beyond economics and enforcement, moral leaders say the gambling crisis is corroding the nation’s values. Pastor Lesiba Kgwele, convenor of the Moral Regeneration Movement in the North West, says addiction is devastating families and communities.

“We have observed in recent years increased addiction to gambling that is impoverishing families, with devastating impact on livelihoods,” he said. “It contributes to high divorce rates, drug and substance abuse, and other negative phenomena.”

Kgwele told IOL that pensioners and retired professionals are increasingly falling victim to gambling.

“Many have fallen prey to the elusive hope of winning through gambling, leading to depression and the loss of life savings. Financial-management programmes offered to retirees must discourage gambling as an investment option.”

Kgwele says awareness campaigns must be intensified and include churches, faith-based organisations, NGOs and civil-society groups.

“Community dialogues must focus on gambling so that we reach as many people as possible as part of reclaiming the moral fibre of our society.”

Balancing freedom and protection

Dukwana said the NGB shares the concern over addiction but believes the solution lies in education and responsible gambling, not prohibition.

“The NGB, through nationwide education and awareness campaigns, encourages legal and responsible gambling,” he said. “We conduct face-to-face sessions, school visits, and awareness drives at gambling operators and social-grant pay points.”

The Board works with provincial licencing authorities and the South African Responsible Gambling Foundation to provide free counselling and treatment for gamblers and their families.

“We are extending our education programmes to the youth, students, the elderly and the recipients of social grants to ensure vulnerable groups are protected,” Dukwana explained.

He also acknowledges that regulation must keep pace with technology.

“Amendments to the current gambling laws will go a long way in addressing emerging challenges like interactive gambling, illegal online gambling, gaming and advertising.”

The NGB is collaborating with the police to classify illegal gambling as a priority crime, allowing for faster prosecutions and asset seizures.

A wager on the nation’s conscience

Across sectors, the message is the same: South Africa’s gambling boom is unsustainable without stronger guardrails. The numbers may dazzle investors, but they alarm those who see the human fallout every day.

For Pastor Kgwele, the issue is moral. For Gana, it is political. For Lieutenant Colonel Ramovha, it is criminal. But for Lungile Dukwana, who monitors the industry’s pulse, it is all of the above.

“We have to admit we are becoming a nation of gamblers,” he says. “That does not mean every gambler is addicted — but it means we must all become more responsible. Because if we do not manage it now, we will face a far greater social cost later.”

For Sipho, the taxi driver who first logged on during the Covid-19 lockdown, the bets haven’t stopped — but the odds, he admits, rarely feel in his favour.

*Sipho M declined to have his full name recorded.

For help to quit gambling, call the The South African Responsible Gambling Foundation on its toll free counselling line, 0800 006 008 Or WhatsApp/SMS HELP To 076 675 0710 or email to helpline@responsiblegambling.org.za 

jonisayi.maromo@iol.co.za

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