BTA2023 Several Civil Society Organizations (CSOs) in Ghana, including Vision for Accelerated Sustainable Development, the Ghana NCD Alliance, Jaishi Youth Initiative, Tax Advocacy Network for Health Promotion, Revenue Mobilization Africa (RMA), and the Stroke Association Support Network, have urged the government to reconsider its decision to remove the tax on winnings from betting. Instead, they advocate for an increase in taxation to discourage gambling, particularly among young and economically disadvantaged individuals.
Concerns Over Gambling’s Socioeconomic Impact
The CSOs argue that gambling has well-documented negative impacts on society, citing its contribution to financial distress, mental health issues, and social instability. In a statement signed by Labram Musah, National Coordinator of the Ghana NCD Alliance, the organizations highlighted that betting has become widely accessible due to technological advancements and aggressive marketing, leading to high participation rates.
According to the World Gambling Statistics, 26% of the global population engages in gambling each year, amounting to over 1.6 billion people. A 2024 report by TGM Research further revealed that 41.7% of Ghanaians participated in sports betting in the past year, with 95% preferring online platforms. Young people aged 18 to 35 make up the majority of bettors, driven primarily by economic hardships and the lure of quick financial gains.
The Case for Maintaining and Increasing Betting Tax
Economist Professor Patrick Asuming, in a recent interview, emphasized that the betting tax serves as both a revenue-generating tool and a regulatory mechanism to address the rising gambling crisis. Betting addiction has led to numerous adverse consequences, including financial ruin, crime, and mental health challenges such as anxiety and depression.
Research from the World Health Organization (WHO) links gambling addiction to chronic stress, cardiovascular diseases, and substance abuse. Additionally, financial strain from gambling has resulted in cases of embezzlement and even suicide, as demonstrated by a recent incident involving a 76-year-old retired educationist who took his life after losing GH¢120,000 to betting.
Regulatory Recommendations and Global Best Practices
The CSOs propose several regulatory measures to address the gambling issue:
- Strict Advertising Regulations: Ban all forms of betting promotions, especially those targeting young people and vulnerable groups.
- Stronger Age Verification Systems: Enforce strict age restrictions for both online and physical betting platforms.
- Increased Support Services: Establish gambling addiction support centers, counseling services, and public education campaigns.
- Holding Operators Accountable: Impose sanctions and withdraw licenses of operators engaging in unethical practices.
The statement also noted that countries like the UK, Australia, and Kenya have implemented stringent regulations, including advertising restrictions, betting limits, and self-exclusion programs to protect consumers. Ghana, the CSOs argue, must follow similar best practices to safeguard its population.
Urgent Call to Action
Rather than removing the betting tax, the organizations urge the government to conduct a full assessment of gambling’s impact and adopt policies that prioritize public health over commercial interests. They stress that Ghana must take proactive steps to prevent an impending crisis fueled by unregulated gambling.
“We call on the government to act now and prevent the looming danger that lies ahead if we fail to implement strict regulatory measures on betting,” the statement concluded.
