Nigeria faces a regulatory standoff as the sector awaits greater stability

Nigeria faces a regulatory standoff as the sector awaits greater stability

The future of gambling in Nigeria remains uncertain. The dispute between state and federal regulators has found no resolution and the sector operates in an environment of uncertainty that complicates long-term planning for operators, investors, and technology providers.

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The most recent breaking point occurred in December, when President Bola Ahmed Tinubu vetoed the Central Games Bill, an initiative that sought to centralize regulation under a national commission. Tinubu argued that the project contradicted a 2024 Supreme Court ruling that established that gambling must be regulated at the state level and not by the federal government. With that rejection, Nigeria was left without a clear federal framework and without the effective transfer of regulation to the states having been fully consolidated.

Nigeria: Logifuture calls for common sense and trusts in a solution this year

Ben Cove, marketing director of Logifuture, a betting technology provider company that powers Bet9ja, the leading operator in the Nigerian market, was optimistic about this outlook. Speaking to iGB, Cove expressed hope that 2026 will be the year common sense prevails in Nigeria.

“Ultimately, they need to collectively find the system that works,” the executive noted. Cove indicated that Logifuture is willing to work alongside various regulators and government officials to build some type of national legislation, whether it be a unified regulatory committee or a set of local committees that share the same principles with the sector.

What the industry is looking for in the new regulatory framework

For Cove, any regulatory change adopted must have the protection of both bettors and operators as its central axis. The executive was explicit regarding the risks of a regulatory vacuum: without a solid framework, Nigeria could become an open market where offshore operators capture market share without paying taxes or complying with minimum user protection standards.

“We want to be able to provide the values of a safe market, which protects users and also operators,” he stated. “We are really interested in supporting this and we hope there is some light at the end of the tunnel.”

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Despite the complex environment, Cove acknowledged that regulatory uncertainty does not significantly affect the company’s daily operations. Bet9ja’s weight in the Nigerian market acts as a safety net during this period.

The company has more than 20.000 retail outlets across the country and its online platform operates without interruptions. Logifuture has current licenses in the states that offer them and maintains an active presence even in those where the regulatory situation is more diffuse. “Does it affect us on a day-to-day basis? Not really,” the executive explained.

Centralized regulation could attract new investors

Cove warned that a more robust regulatory framework could serve as a positive signal for investors who are currently hesitant to enter the Nigerian market. However, he was also cautious regarding the expectations of those who view Nigeria as a short-term opportunity.

The market is maturing and consolidation is advancing: a small group of operators dominates the sector, which makes entry expensive for new brands. According to Cove, initial costs in brand development and market access are considerable, and the return would not come quickly.

All in all, the executive recognized the structural appeal of the country. Nigeria adds more than one million new consumers over the age of 18 every year, which guarantees a constantly expanding user base. “From that perspective, it’s appealing,” he noted, although he clarified that the decision to enter must be strategic and with a long-term vision, regardless of whether a solid regulatory framework exists or not.

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