When compared to other countries in Africa, Nigeria is home to the largest African economy. Over the years several years, we have witnessed the country’s overall economy score increasing significantly, mainly due to certain improvements made in its judicial scheme.
Speaking of the Nigerian economy, we should mention the most developed industries. According to the most recent reports on the Nigerian economy, the industries that contribute to the country’s GDP the most are banking, construction, agricultural, healthcare, ICT, oil and gas, and finally entertainment industries.
When it comes to the Nigerian entertainment industry, it is divided into several departments, including the country’s movie industry also called Nollywood, its music industry, and its video gaming and gambling industry.
Each different entertainment industry in Nigeria has become crucial to the country’s economy. The Nigerian gambling industry is dominated by sports betting. As of today, there are hundreds of different Nigerian sportsbooks catering to Nigerian sports bettors.
Due to the country’s current iGaming legislation, most of these sportsbooks are operated and owned by companies registered outside of the country.
The Nigerian Sports Betting Industry Statistics
According to one report released in 2020 by BusinessWire, around sixty million Nigerians between the ages of eighteen and fourteen engage in different forms of sports betting activities.
The same report also revealed that the Nigerian sports betting market is valued at over US$2 billion and its value is expected to grow in the years to come. The latest reports suggest that the Nigerian sports betting industry is driven by the increasing adoption of portable devices.
In fact, the widespread use of portable devices, in the first place smartphones, by Nigerians has been one of the biggest game-changers not only for the Nigerian sports betting industry but for its gambling industry as a whole.
According to this report, over 101 million Nigerians used their mobile devices to access the Internet in 2021. Therefore, the mobile internet penetration rate in Nigeria in 2021 was 48.12%. Based on the latest projections, the mobile internet penetration rate will grow to 59.7% by the end of 2026.
Over the years, the country welcomed many international brands to its thriving sports betting scene, including Bet365, Betway, Betwinner, Parimatch, Betfair, 1xBet, 22Bet, Melbet, and many others.
When it comes to offline sports betting activities, they are equally popular among Nigerians. In fact, sports betting outlets can be found in most bigger cities in Nigeria.
Nigerians are huge fans of sports and sports betting and the industry has proven to be extremely beneficial for the country’s struggling economy.
Positive Effects of Sports Betting and Gambling on the Country’s Economy
For several years now, sports betting and gambling activities in Nigeria are no longer strictly related to entertainment. The country’s billion-dollar gambling industry has been growing tremendously over the last several years.
With over sixty million Nigerians being active sports bettors and millions of Nigerians engaging in online casino activities, nearly N50 billion was collected in gambling revenues back in 2019.
When compared to other gambling markets in Africa, Nigeria is home to the second-largest, most profitable online gambling industry after South Africa.
The Nigerian gambling industry also positively impacts the country’s economy thanks to its taxation system. More specifically, in Nigeria, online winnings collected on games of chance are taxed at a fixed rate of 15%.
Needless to say, the country’s taxation system on online gambling winnings significantly improves its economy. In addition, with new international gambling sites emerging on the scene, Nigerians have more working opportunities.
Essentially, the gambling industry creates new jobs and decreases unemployment rates. With this being said, nobody can deny the amazing positive effect of sports betting and gambling on the country’s economy.