The House of Representatives Committee on Intergovernmental Affairs has abandoned earlier moves to scrap sports betting but recommended a Central Monitoring System to checkmate the adverse effects.
The Chairman of the committee, Hon Canice Nwachukwu made the call during a public hearing on the need to curtail the dangerous effects of sports betting and direct the National Lottery Regulatory Commission to comply with the Lottery Regulatory Commission Act at the National Assembly Complex in Abuja.
He said the Committee was not going to call for the shutting down of the sector but must ensure it follows laid down rules so it does not become inimical to society.
The lawmaker said, “We are all Nigerians. We would not go against people doing their business. They have rights to exercise their franchise. But what we are saying is we have to play within the rules of the game.
“We have to arm the system to control and enforce all the provisions that would allow gaming and betting to flow smoothly without becoming a social menace.
“I am not going to be here to say we are going to shut gaming and betting and people operating in that sector.
“What we would do is to make sure there is a level playing ground whereby all the mechanisms that should be out in place to ensure it does not become inimical to the society.
“We have to play within the rules of engagement. That comes to the issue of a central monitoring system. It must be introduced. This is going to a reasonable extent to help solve some of the problems we are having now.
“By the time we have the system in place some of these stories would become history. It is not going to be completely eradicated but to a reasonable extent it will solve some of these issues.”
Deputy Director of the National Institute for Policy and Strategic Studies, Kuru, Sandra Agbor, urged that while awaiting the review and passage of the Nigerian Lottery Regulatory Commission Act 2005, the President should enact an Executive Order on the dangers of sports betting in Nigeria.
Speaking on the contribution of sports betting to the economy, she said Nigerians plough about $2 billion a year into sports betting annually.
“The Federal Inland Revenue Service (FIRS) has imposed a 7.5 per cent value-added tax (VAT) on betting activities in the country. The contribution of sports betting to the national economy is huge and cannot be ignored.
“The number of betting companies operating in Nigeria has provided more employment opportunities, with thousands of Nigerians now working for both the local and foreign companies.
“Sports betting companies have aided the Nigerian economy by forming partnerships and signing sponsorship deals with several organisations, both in the sports and entertainment industries,” she said.
Agbor said the Nigerian sports betting market is rapidly developing, and this has a positive effect on the economy.
She said the industry can attract investors, create new jobs, and generate more revenue to the national purse.
She, however, said the negative effects should be factored into the design of a holistic response that will protect the underage, prevent fraud, and confront addiction in Nigeria.
Director General of the National Lottery Regulatory Commission, Mr Lanre Gbajabiamila, said lottery and gaming remains a veritable development instrument to make sports entertainment a revenue spinning venture.
Represented by the Director Licensing and Operation, Obi Yeregu, he said the Commission has put in a lot of measures to not only mitigate the adverse effects of sports betting.
“There are lots of benefits inherent in it. The sports betting has been a veritable tool of empowering Nigerians and giving gainful employment to our teeming youths.
“The number of Nigerian youths employed in this ecosystem is huge. Very huge. The Commission in the recent past has brought experts to enlighten Nigerians on the benefits of sports betting and also to emphasise responsible gaming.
“The slogan of our commission is lottery the right way. This connote the fact that not only does it generate revenue it is also sensitive to ensure that we don’t breed addicts,” he said.
The Association of Nigerian bookmakers Olafadeke Akeju, said the sports betting industry makes significant contributions to the Nigerian economy through job creation, tax revenue generation, and investment in local communities.