Nigerians have featured in many top sporting competitions over the years, including the Olympics and the African Nations Cup. There is no shortage of enthusiasm for sports in the country. However, previous governments have not been able to harness this enthusiasm fully.

This situation may change following the latest presidential elections, and the country may see the rise of more stars following in the footsteps of previous famous athletes from Nigeria who have graced a variety of sports competitions.

If the President-Elect, Bola Tinubu, carries out the sports-related promises in the APC manifesto leading up to the election, then the sports story of Nigeria seems set to be positive going forward. This positivity is likely to affect all sports-related industries, including sports betting, which is already popular in Nigeria and is set to grow further.

The potential for sports development under a Bola Tinubu-led government

Prior to the recent elections, the APC published a manifesto that included its position on the development of sport in the country. In the manifesto, the party promised to take a “dynamic training and funding approach” to sport.

This approach includes developing academies and training institutes and encouraging sport from grass roots level upwards. It also involves the implementation of a New National Sports Industry Policy, (NISP) and the creation of incentives aimed at attracting investment from the private sector to develop a robust sports infrastructure.

Increased interest in sports to fuel the sports betting industry

The promised increases in development and investment should enhance the level of interest in sports in Nigeria. This interest, together with an increase in the use of mobile technology, is likely to have a positive impact on sports betting which is already popular, with around 60 million Nigerians participating.

Another change to the sports betting landscape that is set to happen now the new president has been elected is the adoption of the Finance Bill 2022. Once the Bill is signed into law by the president, sports betting operators will be required to pay full tax at 30% instead of the 7% Lottery Tax they pay now.

This change to the tax position brings Nigeria closer to the position in the United Kingdom, which is a top sports betting nation. In the UK, there are three types of taxation that can apply to sports betting, depending on the type of bets and where they are placed. These types of tax are general betting duty (GBD) of between 3% and 15%, pool betting duty (PBD) of 15%, and remote gaming duty (RGD) of 21%. These taxes are paid by sportsbooks and casinos that are licensed by the UK Gambling Commission (UKGC). These sports betting and casino game providers are also registered with the GAMSTOP organisation which allows people to self-exclude from all sites at once as part of the responsible gaming initiative in the country. Some people prefer to play at sites that are not registered with GAMSTOP, such as this list of sites here. These sites are based offshore and are not subject to UK taxation.
If the pre election promises of the APC manifesto come to pass, sports investment in Nigeria should improve.

This increased investment in the sporting landscape will lead to increased interest and potential growth in sports betting. Any growth will benefit the government in tax returns once the Finance Bill is signed into law and will bring it more closely in line with other sports betting markets, such as the UK.