The South African gambling landscape is undergoing a revolutionary and concerning transformation as bettors rapidly shift from traditional land-based casinos to accessible online platforms. According to the National Gambling Board (NGB), this digital migration is now the dominant force in the industry, presenting major challenges related to addiction, legality, and regulation. The core of this shift is the meteoric rise of online sports betting, which accounted for approximately 60% of the country’s Gross Gambling Revenue (GGR) for the year ending March 31, 2025.
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The statistics reveal a stark contrast between digital growth and physical decline. Out of a total GGR of R75 billion, online sports betting contributed R44.5 billion. Meanwhile, physical casinos generated only R16.6 billion, making up a mere 22% of the market. This decline in consumer demand for physical gambling is evident in the falling numbers: casino GGR dropped by 4.1% year-on-year, and the number of operational slots and tables saw corresponding reductions. As Yvonne Gwenhure, NGB senior manager, noted, this indicates a clear substitution, with punters choosing online slots and other online formats over land-based options, driving negative growth in categories like bingo and limited payout machines.
NGB CEO Lungile Dukwana warned Parliament that this accessibility, primarily via mobile phones and computers, is directly fuelling illegal gambling and contributing to a rise in compulsive behaviour and addiction. The regulatory framework is struggling to keep pace. The long-term trend, accelerated by the 2020 COVID-19 lockdowns, shows online platforms overtaking the physical market share, which stood at roughly 80% in 2010. Dukwana emphasized the urgent need for a “firm policy position,” starting with an overhaul of the “outdated” National Gambling Act of 2004.
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Furthermore, enforcement against international operators, particularly those exploiting legislative loopholes or operating from non-cooperative jurisdictions like Curacao, remains a significant hurdle. The NGB is now leveraging collaborative efforts with banks, police, the Financial Intelligence Centre, and even lobbying tech giants and regulators (like Icasa and Google Africa) to block the IP addresses of illegal offshore sites. These measures, alongside closer work with the Advertising Regulatory Board to limit promotion, underscore the urgency required to manage the pervasive, high-stakes nature of South Africa’s accelerating digital gamble.
