Ethiopia Plans Sports Betting Relaunch with Enhanced Oversight After Draft Audit Identifies Br27.5 Billion Shortfall

Ethiopia is preparing to relaunch sports betting and digital lotteries under tighter controls after a draft audit identified a reported Br27.5 billion shortfall in payments due to the state, according to iGaming Business.

The draft audit found operators processed Br199 billion in transactions. A single operator accounted for Br8.64 billion, while ten companies collectively accounted for approximately Br19 billion. Approximately Br30 billion in commission was payable but only Br3.6 billion was paid, with the shortfall also including penalties, licence-renewal fees and registration charges. The assessment remains provisional, as the complete audit has not been published and some category figures do not align precisely.

Regulatory Response to Audit Findings

Ethiopian Lottery Service chief executive Beza Girma said the regulator would pursue legal measures to recover liabilities identified when the audit is completed. Girma also said work was under way on a unified digital system to record and monitor operators’ financial and legal obligations. The Ethiopian Lottery Service (ELS) said any relaunch would be backed by stronger oversight and modern technology.

Licence Revocations, Enforcement Actions and Court Proceedings

This overhaul follows the suspension of 22 operators on 4 December 2025 and the revocation of all sports betting licences on 15 December 2025. Enforcement continued in 2026, with action taken against 38 betting enterprises accused of concealing customer data, evading tax, hiding revenue and conducting illicit financial transactions. Owners were detained and company bank accounts frozen.

Hulu Sport challenged the regulator in the Federal High Court. The company argued “Being merely a suspect under criminal investigation does not constitute guilt.” The court set aside the regulator’s decision after finding Hulu Sport had not been given an opportunity to answer the allegations. The regulator appealed and obtained a 15-day stay pending review by the Court of Cassation. The judgment concerned procedure rather than the financial allegations.

Parliament enacted the Federal Sport Development and Management Proclamation No. 1413/2026, gazetted on 3 July, without the disputed provision that would have given the Ministry of Culture and Sports a role in betting arrangements. ELS has yet to set out licensing requirements, application process or timetable for reopening. Operators remain unable to return to the market.

Reporting: iGaming Business (iGB)

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