A new study has revealed the alarming scale of unlicensed gambling activity in South Africa, with 62% of all gambling taking place via unregulated offshore sites.
The YieldSec study paints a troubling picture of a market where the majority of players are being served by operators that fall entirely outside the country’s regulatory framework.
The underground gambling market is estimated to siphon off more than $3 billion in gross gaming revenue from South Africa every single year.
An estimated 16 million players in South Africa have engaged with unlicensed gambling platforms over the past year alone, highlighting the enormous reach of the illegal sector.
The South African Bookmakers’ Association CEO has pointed directly to national enforcement shortcomings as a key driver behind the problem’s continued growth.
According to the SABA chief, tackling illegal gambling sits “squarely in the domain and legal framework” of the National Gambling Board, but the body remains under-equipped to handle the scale of the issue.
Critics argue that without meaningful investment in enforcement capacity at the National Gambling Board, offshore operators will continue to dominate and draw players away from licensed alternatives.
Egypt is also confronting its own illegal gambling challenge, with the government now preparing significant legislative changes to crack down on online betting activity.
Ahmed Badawi, chair of Egypt’s House Communications and Information Technology Committee, announced in May 2026 that amendments to the Cybercrime Law are expected to be submitted to explicitly criminalise online betting applications.
The proposed amendments would name electronic gambling explicitly within the law and introduce substantially tougher penalties for those found to be operating or facilitating illegal gambling services.
In the most serious cases involving organised criminal networks, the proposed legislation could see maximum sentences reach as severe a punishment as life imprisonment.
Online gambling currently remains illegal for Egyptian residents, yet enforcement has consistently lagged behind the reality on the ground across the country.
Many Egyptians continue to access offshore sportsbooks and casino platforms using VPNs and foreign payment channels to circumvent existing restrictions with relative ease.
Both countries now face the shared challenge of closing the gap between legislation and enforcement before offshore illegal gambling becomes even more deeply embedded in their respective markets.

