Reports AFRICA - TANZANIA In the driving seat
In a country of almost 52 million people, Tanzania has the potential to be a giant of the global gaming industry and revenues have certainly risen in recent years, and is expected to grow further in 2016-17, with the most benefit to sporting organisations. However, illegal operations are still rife, despite efforts to crackdown on the illegal operation of slots
After independence from Britain in the early 1960s Tanganyika and Zanzibar merged to form Tanzania in 1964. Tanzania is located in Eastern Africa on the
Indian Ocean and is one of the world’s poorest economies in terms of per capita income but has been achieving high growth rates via its natural resources and tourism. GDP per capita in 2015 was $3,000 and saw a
6.9 percent growth rate in 2015. Te country has almost completed its transition to a market economy although the government has maintained its presence in sectors such as banking, mining and telecommunications. When One-Party rule ended in 1995 the first democratic elections were held in the country since the 1970s. Despite the growth rate however the poverty
rate has only decreased by two percent linked mostly to population growth. Te economy in Tanzania is largely dependent
on agriculture which accounts for around 26 percent of GDP and provides 85 percent of exports and employs 75 percent of the work force. All land is owned by the government which then leases land for up to 99 years. Meanwhile in 2014 the travel and tourism
industry contributed TZS2.9bn directly which is around five percent of GDP and this is expected to rise to TZS5.3bn by 2025. Total contribution from travel and tourism to GDP was TZS8.2bn (14 percent of GDP). Te sector supports around 1.3 million jobs or
some 12 percent of the labour force and the tourism sector is growing rapidly with around 1.1 million tourists compared to 590,000 back in
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2005. Many come from Britain, US, Germany and Italy and there has been a surge in the last couple of years. In the past Tanzania always played second
fiddle to Kenya but it is now taking over and expected to top two million visitors by 2017. In 1990 the government began to liberalise the tourist sector which revitalised the industry and at the same time they created the Tanzanian Tourist Board in 1992. Tere are now more international flights into
Tanzania plus an improved infrastructure, increased tourism investment and direct marketing. Te vast majority of tourists visit the Zanzibar
region or the ‘northern circuit’ to include the national parks, lakes and Mount Kilimanjaro. Gambling in Tanzania wasn’t really legalised
until 1992 when the Investment Promotion and Protection Act came into place. Te gaming industry was previously regulated under the Pools and Lotteries Act of 1967 and the National Lotteries Act of 1974. At the time the national lottery run by the
now defunct National Lotteries, was considered as the only significant gaming activity in Tanzania until the onset of economic reforms in 1985. Te reform policies at this time saw the
arrival of the National Investments Promotions and Protection Act of 1992 which saw the growth of investment projects in the hotel and leisure industry. Tis also saw the arrival of the National Policy of Gaming Activities and subsequently the Gaming Act Cap. 41 of 1999. Under this Act the Gaming Board of Tanzania
(GBT) was established in July 2003 and this board is responsible for overseeing and monitoring and regulating the conduct of gaming activities in the country. It divided the industry into three groups: Group 1 for casinos, slot and bingo halls
operated and owned by the private sector but licensed and regulated by the government. Group 2 for national lotteries owned and
regulated by the government and contracted to the private sector through competitive bidding and Group 3 for other gaming activities such as
promotional lotteries and one off bingo, which are open to the public and regulated by the government. Meanwhile the Gaming Act Cap. 41 includes
the following points: l Application for a licence or renewal is made to the board
l Licences expire after 12 months before renewal except the National Lottery which lasts for five years.
l Te following types of licences can be issued: 1. Casino licence for table games and slot machines
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