Mozambique has taken a significant step in regulating its gambling industry by approving a specific legal framework for online games of chance. This new regulation, endorsed by the Council of Ministers in mid-July, introduces a separate concession regime for digital gambling platforms, marking a distinct departure from the existing system for land-based casinos. The move is seen as a response to declining revenue from physical casinos, which has prompted the government to adapt to the growing trend of online gambling.
The decision to implement a dedicated regulatory structure for online gambling comes at a time when the traditional casino sector is facing financial challenges. According to the Ministry of Finance, tax revenue from land-based casinos dropped to MZN359.5 million ($5.6 million) in 2025, significantly below the projected MZN666.1 million. This figure represents just 54% of the government’s target, following a similar trend in 2024 when collection reached only 34% of the MZN1.235 billion target. The decline has been attributed to the increasing popularity of online gambling, which has drawn patrons away from physical establishments.
In a bid to address these financial and regulatory challenges, Economy Minister Basílio Muhate emphasized the importance of transparency and enforcement in the government’s strategy post-approval. Following a meeting with the Mozambican Association of Online Games and Betting on July 31, Muhate underscored the government’s commitment to curbing illegal gambling activities. He highlighted the role of the General Inspectorate of Games (IGJ) in overseeing compliance and called for enhanced inspection and transparency within the industry.
Minister Muhate also urged gambling operators to be mindful of the social implications of their activities, particularly concerning young people. Economist Júlio Saramala echoed these concerns, advising that the IGJ should make public its inspection criteria and annual reports to bolster accountability. Saramala pointed out that the allure of quick financial gains might attract unemployed youth to gambling, potentially causing social harm that could outweigh the benefits of additional tax revenue. He recommended more comprehensive legislation, clearer advertising standards, and robust monitoring of mobile and banking transactions.
Addressing the presence of foreign gambling sites targeting Mozambican consumers, Danilo Mussá, President of the Mozambican Association of Online Games and Betting, noted that the new framework could help local authorities regulate offshore operators more effectively. Mussá emphasized that these foreign sites do not contribute to local tax revenue, as transactions often bypass traditional financial channels. He expressed the association’s intention to work with Mozambique’s National Institute of Information and Communication Technologies (INTIC) to block access to unauthorized sites.
Despite the regulatory advancement, many details about the new online-gambling framework remain undisclosed. Key aspects such as the cost of obtaining an online-gambling concession, the applicable gaming-tax rate, and the technical standards required for operators have not been clarified. Neither the government nor the IGJ has provided a timeline or detailed application process for prospective operators. The absence of these specifics leaves the practical implementation of the framework uncertain.
The approval of the online gambling framework marks a notable regulatory shift, yet its success will hinge on the government’s ability to establish a functional licensing and enforcement regime. The next steps involve detailing the commercial, technical, and procedural components necessary to bring the framework into operation. The industry is now awaiting further guidance from the government and the IGJ on how the new legal apparatus will be applied in practice.
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