Kenyan sports betting operator SportPesa will seek to expand its commercial footprint in East Africa by launching its services and operations in neighboring Tanzania.
This week, SportPesa governance confirmed that the company had been granted an operational licence by the Gaming Board of Tanzania (GBT).
Kenyan business news sources report that SportPesa governance has been reviewing its growth strategy following the shock announcement by Kenya’s Treasury that it will implement a blanket 50% tax charge on all gambling services.
This April, SportPesa primary investor Bradley Trading issued a legal challenge against the Treasury’s actions, stating that the government body had inefficiently reviewed the Kenyan gambling sector.
The investor further states that the Tax hike ordered by budget secretary Henry Rotich has been ‘in excess of his powers’ to significantly increase the tax burden on an industry without an appropriate mandate or consultation.
SportPesa CEO Ronald Karauri has been an outspoken critic of the Treasury tax hike stating that it would not only cripple a growing tax efficient market, but that increased taxes would severely impact Kenyan national sports funding.
Kenyan President Uhuru Kenyatta has detailed that he may action a review of the 50% tax, taking in all stakeholder perspectives.
Source: SBC News
