Mozambique’s government is betting big on its gambling sector, projecting a 29% surge in tax revenue from casinos and betting activities in 2025.
Officials expect to collect 500 million meticais (€6.9 million), up from last year’s figures, as new gaming projects and stricter regulations take effect. This ambitious target highlights the country’s push to boost state income while balancing economic growth with social responsibility.
The Driving Forces Behind the Revenue Surge
- New Casino Licenses & Investments
Mozambique has recently approved several high-profile casino projects, particularly in tourist hubs like Maputo, Pemba, and Tete. The launch of Panda Gaming’s new integrated resort in Maputo and Sun International’s expansion are expected to significantly contribute to tax revenues. - Stricter Tax Enforcement
The government has tightened oversight on gambling operators, ensuring compliance with tax obligations. In 2024, authorities fined three major casinos for underreporting earnings, signaling a crackdown on evasion. - Rising Popularity of Sports Betting
With the growth of mobile betting platforms like BetPawa and MozBet, sports wagering has become a major revenue stream, especially among young adults. The government now taxes online operators at 10% of gross gaming revenue, up from 8% in 2023.
Challenges & Controversies
While the gambling boom promises economic benefits, it also raises concerns:
- Addiction & Social Impact: Critics argue that Mozambique lacks sufficient problem-gambling support programs, with only two public rehab centers nationwide.
- Illegal Gambling: An estimated 20% of betting activity occurs in unlicensed operations, costing the government millions in lost taxes.
- Money Laundering Risks: In 2023, a Maputo-based casino was implicated in a corruption scandal involving illicit financial flows.
What’s Next?
If Mozambique achieves its 2025 target, gambling taxes could fund key infrastructure and social programs. However, experts warn that sustainable growth depends on stronger regulations and harm reduction measures.
