The gambling industry is often associated with unkind terms and social processes, but the impact that betting and gambling have had on South Africa is a good example of how a sector can beget positive social change. Both activities used to operate in the black market, but the government has taken significant strides to make them part of a regulated framework, which has had a major impact on the economy.
Yet, in determining the good (and possibly the bad) that emanates from these sectors, we ought to break down what the current operational regime looks like and what its implications are. Let’s get started.
Why Is It Important to Regulate Betting and Gambling?
There are many important reasons why countries ought to regulate their gambling industries. For starters, if they didn’t, there are offshore operators who are more than happy to fill the vacuum. However, there are many benefits that countries can reap from regulating this form of entertainment, too.
Those include tax revenue for the country, which can help plug important deficit gaps, employment opportunities. For example, in the United States, there are thousands of people employed by the gambling industry.
It is not just employment, though, as these establishments often have the exact opposite of what people initially fear – casinos usually have a positive social impact as they develop areas that may have previously suffered from chronic underinvestment.
Much of these lessons have been applied to the industry in South Africa, which has made it not only competitive but quite meaningful from a financial standpoint to the country. This phenomenon is not limited to only brick-and-mortar casinos, either.
For example, the arrival of online casinos has led to many prominent resources, such as Roulette77, helping educate players to offer a more balanced entertainment experience. Online casinos are actually contributing a massive deal to the economy as well.
They are sometimes criticized for not offering as much in terms of employment opportunities, but most online casinos actually hire a lot of high-tech workers who are needed to execute the smooth operation of casinos.
In other words, South Africa’s gambling industry is truly enjoying a great moment in history. To this very day, South Africa remains one of the best-regulated markets in the entire region, serving as the basis of further expansion across the African continent and a role model for countries that want to import the lessons that their neighbor has learned by doing.
The Outlook for South African Gambling?
The truth is that South Africa is still a developing market. Although the country has made decisive strides in regulating its industry, there is a lot heavier lifting left to be done. For starters, the industry is expected to grow and grow significantly it will.
The compound annual growth rate by 2030 is expected to be anything between 5% and 7% annually, allowing South Africa to continue expanding its industry at a good clip and reach around $2.2 billion in pure valuation. Overall, the industry is:
- Looking to grow at a rate of 5% to 7% annually
- Expand the number of jobs created by the industry
- Draw even bigger tax revenue to the country’s coffers
- Develop a sustainable and responsible gambling framework
Presently, there are some 40,000-odd people employed in the industry, which is not bad, but it is below expectations for the time being. Yet the number of industry-employed professionals is growing, and this is a good sign for the outlook of the South African iGaming and betting industry, which is set to drive stronger results across the board and prove to be an important contributor to the overall economy of the country.
Does Banning Gambling Work?
Absolutely not. Banning gambling has simply not worked – not in South Africa, not around the world. This is why lawmakers all over the world now are opting for a balanced approach that sees the country regulate the industry in such a way as to drive economic benefits.
Those include additional tax, new job opportunities, and the uprooting of black-market operators. All of this contributes to making gambling safer for everyone, as well as more enjoyable for people who enjoy slots, blackjack, roulette casinos, live casino, and other games!
So, in a sense, South Africa has pursued the best course of action, and the decision to regulate the industry rather than ostracize it has been a good legislative move that will keep on giving benefits for decades to come.
Which Contributes More – Betting vs Gambling
Traditionally, the iGaming industry, which includes the types of games covered by Roulette77, tends to be a bigger contributor to state coffers. However, South Africa has done much to support its sports betting sector, legalizing it first, and – as a result – you can expect to see the sports betting sector actually contributing more.
There are millions of punters in the country who are happy to bet on the outcome of sports, and with the help of a regulated gambling framework, that is all the easier. Players will have the opportunity to select from a ton of awesome sports betting markets that are well-developed and honed to truly prioritize the best possible betting markets, odds, and options.
All in all, betting seems to take the lead when it comes to net contributions to South Africa’s iGaming space. Whether this will remain so is anyone’s guess, but online casinos are actually gaining plenty of momentum as well, so there is definitely room for growth.
Summing Up Betting and Gaming in South Africa
Summing up, South Africa is a very dynamic market, and you will find it an exciting place to bet or play your favorite roulette games, for example. The market has benefited mightily from the legalization, and this means that players can find secure and reliable options to explore and enjoy, whether they are roulette or sports betting. The market has developed and evolved in leap and bound and players are the ones who will ultimately benefit from it all.