The National Lottery Authority (NLA) is intensifying efforts to regulate the lottery industry as a significant number of illegal operators continue to siphon substantial amounts of revenue.
A recent evaluation indicates that approximately 680 illegal lotto companies are pocketing over GH₵1 billion annually, which is a major portion of the NLA’s expected annual revenue of GH₵1.8 billion.
Currently, the NLA captures only about GH₵800 million of the total lottery market value. Out of an estimated 700 illegal lotto companies, primarily operating in rural areas, only about 20 are officially registered with the NLA. The prevalence of illegal operators—outnumbering registered ones by a large margin—reveals a significant issue with unauthorized lottery activities.
This indicates that over 55% of the potential revenue is lost due to unregulated operations.
This situation underscores a major inefficiency within the system and highlights the widespread problem of unregulated and unauthorized lottery activities.
In response to this issue, the NLA has taken a proactive step by publicly issuing licenses to 15 new Private Lotto Operators (PLOs). This move is part of the authority’s strategy to enhance regulation and ensure greater transparency in the sector.
The newly licensed companies, including Obiri Asare and Sons Company Limited, Zacdow Company Limited, Glovita Lottery Company Limited, and Makafui Mogyi Company Limited, are authorized to operate the NLA’s original 5/90 Game, which will transition from paper-based to Point of Sale (POS) terminals within the next two years.
NLA Board Chairman, Gary Nimako has emphasized the authority’s commitment to safeguarding the investments of licensed operators and cracking down on illegal operations.
He has urged all unlicensed companies to halt their activities immediately and instructed NLA Director General Samuel Awuku to enforce actions against illegal operators.
The disparity between the NLA’s captured revenue and the income generated by illegal operators indicates a substantial loss of potential tax revenue for the government and undermines public trust in the lottery system.
The NLA has also mandated that the newly licensed PLOs enforce the increased commission rate for lotto writers from 20% to 25%, with non-compliance potentially resulting in the revocation of licenses.
