Advancements in smartphone technology and improved Wi-Fi connectivity have helped mobile gaming become a lucrative industry in Zimbabwe.
Thanks to these innovations, people can place wagers on sports events or enjoy the thrill of an online casino using their mobile devices.
It is a similar story in neighbouring South Africa, where many of the leading gambling operators have optimised their betting apps to run seamlessly on mobile.
The spike in betting activity is more evident among younger adults, who spend a significant proportion of their time each on mobile apps.
Faster Internet Speed Has Contributed to the Growth of Sports Betting
It was not too long ago when betting online was difficult because of slow internet speeds and the excessive cost of purchasing data. The landscape has changed.
Zimbabwe is home to several telecommunications providers, including Econet, NetOn and Telecel. Each of them has expanded 3G and 4G networks across several regions.
Econet has already gone a step further by providing a 5G network for its customers That has made it easier for people to keep track of their bets in real time. It also gives them a chance to wager live.
Even rural communities are benefiting, with providers pouring plenty of funds into making sure that they offer adequate coverage in remote regions.
They offer affordable data plans that have contributed to the rise of mobile betting, and some even have social bundles that can be used specifically to enjoy live streaming and betting.
With these tools at their disposal, betting on competitions such as the UEFA Champions League and the English Premier League has never been more attractive.
Mobile Payments Have Made Betting Even Easier
Mobile payments have been a game-changer for the global gambling industry.
While many of their continental neighbours are focused on debit cards, Zimbabwe leans towards mobile wallets such as EcoCash, OneMoney and Telecash.
Betting companies have integrated these payment systems into their platforms. This eliminates the need for a bank account, with bettors able to fund their betting accounts and make instant withdrawals using these mobile wallets.
Cryptocurrency is also making headway in the betting space, although it’s currently operating in a legal grey area. Some international betting platforms allow deposits and withdrawals in crypto.
However, the Reserve Bank of Zimbabwe (RBZ) has banned banks from dealing in crypto and also discouraged people from it due to its instability. But there’s no official ban on holding crypto, so some betting platforms accept it as a mode of payment.
What to Expect in the Future
With mobile betting growing at a furious rate, the Zimbabwean government is looking to get a grip on the situation by establishing regulations to control the sector.
They are preparing one of the biggest regulatory changes in recent years, with plans to impose taxes on betting platforms and punters from 2026.
From the start of the new year, the tax rate on bookmakers will jump from three percent to 20%. Bettors will also be required to pay a 25% tax on their winnings, up from 10%.
The tax is the government’s way of making sure that betting companies and their customers contribute to the economy, as they benefit from the industry.
On the plus side, Finance Minister Mthuli Ncube confirmed that the new tax regulation means bookmakers will no longer be required to pay Corporate Income Tax.
This is coming at a time when the online betting market is booming. The industry generated nearly $120 million in 2023, with online betting accounting for $45m of the total.
“The tax hike is meant to enhance fairness and ensure that the beneficiaries of the sector’s growth also contribute meaningfully to public revenue,” Ncube said.
“The new rate applies to all licensed betting companies, lotteries and casino operators, representing a 17-percentage-point increase.
“The government expects that this substantial increase in taxation for punters will not only enhance the state’s revenue stream but also provide the necessary resources to address the growing betting-related vices.”
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