Key Points
- Parliamentary committee recommends increasing the levy on bookmaking operations from 2% to 4% to support community infrastructure.
- The recommendation follows an assessment of community development initiatives funded by the Lotteries and Gaming Board across multiple regions.
- In January 2026, Zimbabwe already increased bookmaker taxation from 3% to 20% and raised levies on bettor winnings from 10% to 25%.
- The updated bookmaker taxation structure functions as a final levy, eliminating Corporate Income Tax obligations for gambling operators.
- The betting sector in Zimbabwe produced approximately $120 million in revenue during 2023, with more than 300,000 digital bettors by 2024.
Legislators in Zimbabwe are advocating for a substantial increase in the levy imposed on licensed bookmaking operations, proposing to raise it from the current 2% to a minimum of 4%. This initiative aims to enhance the Lotteries and Gaming Board’s financial capacity to support community development initiatives throughout the nation.
The proposal emerged following a comprehensive parliamentary assessment of LGB-financed projects in multiple districts, including Mutasa, Gutu, Zaka, Lupane, and Kadoma. Parliamentary members highlighted that funds generated from regulated gambling activities have already contributed to enhanced healthcare delivery and educational access in previously underserved regions.
“The committee recommended that the levy collected from licensed bookmakers be increased from 2 per cent to at least 4 per cent to strengthen the Board’s resource base,” the parliamentary report said, according to NewsDay.
The existing framework requires bookmakers to pay a 2% levy, with 1.8% designated specifically for community development initiatives.
This levy operates independently from gambling taxation and other regulatory fees imposed on operators. Parliamentary officials emphasized that the board has evolved beyond its traditional oversight responsibilities and now actively contributes to reducing healthcare access barriers and improving educational enrollment rates.
Recent Gambling Taxation Reforms
The proposed levy adjustment follows a comprehensive gambling tax restructuring implemented in January 2026. These reforms increased the bookmaker tax rate from 3% to 20% and elevated the tax on bettor winnings from 10% to 25%.
Finance Minister Mthuli Ncube unveiled these modifications during the 2026 National Budget announcement in Harare. He clarified that the revised bookmaker tax would function as a terminal levy.
This structure eliminates the Corporate Income Tax requirement for betting operators, lottery companies, and casino establishments. The modification represents a 17-percentage-point escalation for industry operators.
“The tax hike is meant to enhance fairness and ensure that the beneficiaries of the sector’s growth also contribute meaningfully to public revenue,” Ncube said at the time.
These policy adjustments demonstrate the government’s strategy to capture additional revenue from an industry experiencing substantial expansion. Legislative leaders appear committed to directing these funds toward public service enhancement.
Zimbabwe’s Expanding Betting Sector
The betting industry in Zimbabwe has experienced significant expansion in recent years. During 2023, the sector produced approximately $120 million in total revenue.
Digital platforms contributed $45 million to that figure. By 2024, the country had surpassed 300,000 active digital bettors.
The majority of these participants fall within the 18 to 35 age bracket. This demographic has propelled annual sector growth approaching 10%.
Digital betting has emerged as the most rapidly expanding component of Zimbabwe’s gambling landscape. The transition toward online platforms has been instrumental in motivating the government’s initiative to implement higher taxation and levy structures.
The parliamentary committee observed that LGB-supported projects have enhanced maternal health services and broadened service availability in communities with historically limited access. Legislators view the elevated levy as a mechanism to amplify these development efforts.
The 4% levy recommendation must proceed through the complete legislative approval process before implementation. No specific timeline has been established for a final parliamentary vote on this measure.
Zimbabwe’s betting market currently supports over 300,000 active digital users, with the industry recording approximately 10% annual growth fueled predominantly by participants in the 18 to 35 age demographic.
