Mozambique Approves Dedicated Online Gambling Regulation as Casino Tax Revenues Slide

Mozambique has enacted a new regulatory framework specifically for online gambling, separating digital gaming operations from the country’s land-based casino regime. The Council of Ministers approved the Regulation for the Operation and Practice of Games of Chance or Fortune via electronic or computer media, as announced by government spokesperson Inocêncio Impissa after a weekly meeting.

New Framework for Digital Gaming

Under the decree, online games of chance are defined as a distinct, remote-play modality conducted through electronic platforms, computer systems, or other digital means. The regulation establishes a separate concession system for online operators, requiring its own licensing requirements and oversight apart from those governing physical casinos. Impissa stated that the decree “establishes the legal framework governing online gambling conducted through electronic platforms, computer systems and other remote digital channels.”

Falling Casino Tax Revenue Drives Reform

The regulatory shift is a direct response to a sharp decline in casino tax collections, which the government attributes to the growing popularity of online gambling and reduced foot traffic at physical venues. According to the Ministry of Finance’s 2025 budget execution report, casino tax revenue reached 359.5 million meticais (€4.8 million / $5.5 million) — only 54% of the 666.1 million meticais (€8.8 million) projected for that year. That figure also represents a 7.3% decline from the 387.7 million meticais (€5.1 million) collected in 2024. In 2024, the government had budgeted 1.235 billion meticais (€16.4 million) but collected just 34% of that target. The Ministry explicitly cited a “significant increase in online games” as the cause.

Existing Land-Based Casino Landscape

Mozambique currently operates casino and slot-machine concessions in the cities of Maputo, Matola, Beira, Tete, Nampula, and Pemba. These projects represent approximately US$36 million in private investment, according to government data. The National Directorate of Games of Chance or Fortune requires casino licensees to maintain a minimum share capital of about US$2.7 million and to invest at least US$5.5 million within their first five years of operation.

Taxation and Concession Terms

Land-based casino operators remain subject to the Special Tax on Gambling, which is calculated on gross gaming revenue at rates ranging from 20% to 35%, depending on the length of the concession. In addition, they must pay a stamp duty equal to 50% of the price of casino entry tickets. However, they benefit from exemptions on other taxes levied on gambling profits and on import duties for equipment used exclusively in gaming operations. The new online gambling decree does not detail its own tax rates but recognizes online gambling as an autonomous segment subject to its own requirements.

Regional Context

The move aligns with broader regulatory trends across Africa, where several jurisdictions are modernising their oversight frameworks. Botswana recently appointed Moruntshi Kemorwale as the substantive CEO of its Gambling Authority, Angola is transitioning under its Gaming Activity Law, and Kenya’s new Gambling Regulatory Authority has rolled out a fresh licensing regime.