Logifuture CMO Ben Cove has called for common sense to prevail in the ongoing dispute between state and federal gambling regulators in Nigeria.
Nigeria’s regulatory future remains uncertain due to tensions between state and federal regulators.
In December, Nigeria President Bola Ahmed Tinubu rejected the Central Gaming Bill, which would have centralised regulation under a national commission, similar to the now defunct Lotteries Act.
The president said the bill would have contravened a Supreme Court judgment from 2024 that ruled gambling should be regulated at a state level, rather than by the federal government.
The bill’s rejection means continued uncertainty for the country, with a clear shift from federal to state regulation yet to take place.
Ben Cove, CMO of Logifuture, a betting supplier that powers the leading Nigerian operator Bet9ja, is optimistic a resolution will be found this year.
“I would say we hope that 2026 will be a year in which there is some common sense prevailing [in Nigeria],” Cove tells iGB. “Ultimately, they need to collectively find the system that will work.
“It’s in our interests to work alongside the various regulators and government officials to find some sort of either national legislation, national committee of regulation, or a set of local committees that will be agreed and sing from the same hymn [as the sector].”
Logifuture committed to regulation in Nigeria
Cove is hopeful any regulatory changes are made with the protection of both bettors and operators in mind.
“We want to be able to bestow the values of a safe market, of a marketplace which protects the users, and also which protects the operators, in the sense that we don’t want Nigeria to become a free-for-all where offshore operators can just jump in and seize market share and not pay tax or bestow the values and the legislative guidance that regulation brings,” he adds.
“It’s really in our interests to try and support this, and we really hope that there’ll be some light at the end of the tunnel.”
While Cove believes ongoing uncertainty is a concern, particularly for the company’s legal team, Bet9ja’s entrenchment in the Nigerian market provides a safety net for the operator in navigating this period of uncertainty.
“Does it affect us day to day? Not really,” Cove explained. “We’re licensed and viable in every state that offers a licence, and even some that don’t really and pretend to.
“But ultimately, we have in excess of 20,000 retail outlets on the ground in Nigeria in every state, and our ability to play Bet9ja online has not been compromised.”
What impact would a centralised regulation have?
Cove says a more solid regulatory framework could prove much more appealing to investors and act as a “green light” for those unsure of whether to enter Nigeria.
However, he also warned the market is maturing and consolidation is in motion, as a small handful of operators dominate the market. Entering as a new brand could be a costly endeavour, he warns.
“It’s probably not the most appetising proposition for investors, certainly in the short and medium term, because if you’re to enter Nigeria, you’re going to have a lot of foundational costs in terms of brand building and route to market,” Cove adds. “That isn’t going to be cheap.
“We’re talking about a country that has got a constant conveyor belt of consumers, because you’ve got more than a million people that turn 18 every single year. So from that perspective, it’s appetising.
“But when you look at size of wallet and average stake, and all of the other revenue-driving metrics, you’re not going to see a quick return, so it would need to be a very strategic, long-term committed move for anybody with or without a strong regulatory framework.”
Original article: https://igamingbusiness.com/legal-compliance/regulation/gambling-industry-nigeria-regulatory-tension/
