Office No. 18, 9.17 Capital Tower, 91 Waterloo Road, London, SE1 8RT
Mon - Fri: 10.00 - 19.00 GTM+2
MW

Is Gambling Legal in Malawi?

Regulated
Gambling is regulated with strict oversight, including bans on underage gambling, electronic monitoring, and comprehensive rules for operators.

Key Information

Last Update 2025
Regulatory Authority Malawi Gaming and Lotteries Authority (MAGLA)
License Cost Varies

Regulation by Activity Type

Casinos Regulated
Online Casinos Regulated
Betting Regulated
Online Betting Regulated
Lotteries Regulated
Poker Regulated

Highlights

  • The Malawi Gaming and Lotteries Authority (MAGLA) is the main regulator overseeing all gambling activities.
  • A strict ban prohibits anyone under 18 from participating in any form of gambling in Malawi.
  • Violations involving minors result in heavy fines, with penalties reaching up to K20 million per offense.
  • MAGLA mandates all licensed operators to integrate with a centralized electronic monitoring system for compliance and transparency.
  • Recent regulations cover sports betting, national lottery, internet gaming, player protection, and advertising standards.
  • Operators are required to conduct public awareness campaigns, especially targeting youth, about gambling risks.

Legislation

Primary Legislation

The legal framework governing gambling in Malawi is established primarily through comprehensive regulations that cover a wide range of gambling activities. The main legislative act is the Gaming and Lotteries Act, which provides the foundation for regulating all forms of gambling, including sports betting, lotteries, internet gaming, and advertising. Recent regulatory updates have introduced specific regulations targeting underage gambling, player protection, and the implementation of an electronic monitoring system to enhance transparency and compliance across the sector. These regulations collectively form the core legal structure for gambling activities in Malawi, ensuring oversight and the protection of vulnerable populations.

Regulatory Authority

Oversight and enforcement of gambling laws in Malawi are the responsibility of the Malawi Gaming and Lotteries Authority (MAGLA). This statutory body is tasked with regulating, supervising, and monitoring all gambling operations within the country. MAGLA's key legal responsibilities include:
  • Developing and enforcing gambling regulations across all sectors, including sports betting, lotteries, and internet gaming
  • Implementing measures to protect minors and vulnerable individuals from gambling-related harm
  • Mandating operator integration with an electronic monitoring system for enhanced regulatory compliance
  • Overseeing advertising standards and player protection initiatives
  • Promoting public awareness campaigns about the risks associated with gambling

License Types

Types of Gambling Licenses in Malawi

  • Sports Betting License: Required for operators wishing to offer sports betting services, both retail and online.
  • National Lottery License: Issued to entities operating the national lottery.
  • Casino License: For the operation of land-based casinos.
  • Internet Gaming License: Mandated for online gambling operations, including online casinos and betting platforms.
  • Other Gaming Licenses: Covering additional gambling activities as specified by the Malawi Gaming and Lotteries Authority (MAGLA).

Application Process

  • Submission of Application: Prospective operators must submit a formal application to MAGLA, specifying the type of license sought and providing all required documentation.
  • Documentation: Applicants are required to submit business registration documents, proof of financial capacity, details of key personnel, and operational plans.
  • Background Checks: MAGLA conducts thorough due diligence, including background checks on company directors and major shareholders.
  • Technical Compliance: For online and electronic operations, integration with the national electronic monitoring system is mandatory to ensure transparency and compliance.
  • Public Awareness: Operators must commit to participating in public education campaigns about responsible gambling as part of their application obligations.

License Duration and Renewal

  • Duration: Licenses are typically granted for a fixed period, commonly one to five years, depending on the license type.
  • Renewal: Operators must apply for renewal before license expiry. Renewal is contingent on continued compliance with all regulatory requirements and successful completion of updated due diligence checks.
  • Ongoing Compliance: MAGLA regularly monitors licensees to ensure adherence to regulations, including integration with the electronic monitoring system and implementation of player protection measures.

Eligibility and Key Requirements

  • Minimum Age: All license holders must enforce a strict minimum age of 18 for gambling participants.
  • Financial Stability: Applicants must demonstrate sufficient financial resources to operate and maintain the business.
  • Fit and Proper Test: Directors and major shareholders must pass integrity and competence assessments.
  • Technical Systems: Online and electronic operators must integrate with the centralized monitoring system mandated by MAGLA.
  • Staff Training: Operators are required to provide staff training on regulatory compliance and responsible gambling practices.
  • Awareness Campaigns: Active participation in public awareness initiatives about the risks of gambling is required.

Licensing Costs and Financial Requirements

  • Application Fees: A non-refundable application fee is payable upon submission. The amount varies by license type and size of operation.
  • License Fees: Successful applicants must pay an annual license fee, the amount of which is determined by the type of gambling activity and scale of operations.
  • Financial Penalties: Significant fines are imposed for breaches, such as allowing underage gambling (e.g., up to K20 million for violations related to minors).
  • Additional Costs: Operators may incur costs for system integration, compliance audits, and mandatory staff training programs.

Summary Table: Key Features of Malawi Gambling Licensing

License Type Main Requirements Duration Key Fees
Sports Betting Application, financial proof, monitoring integration, staff training 1–5 years Application & annual license fee
National Lottery Application, operational plan, fit and proper test, monitoring integration 1–5 years Application & annual license fee
Casino Application, financial proof, monitoring integration, staff training 1–5 years Application & annual license fee
Internet Gaming Application, technical compliance, monitoring integration, staff training 1–5 years Application & annual license fee

Gambling Tax

Tax Rates for Gambling Operators in Malawi

Type of Gambling Operation Tax Rate Tax Basis
Casinos 20% - 35% Gross Gaming Revenue (GGR)
Sports Betting 20% - 35% Gross Gaming Revenue (GGR)
Lotteries 20% - 35% Gross Gaming Revenue (GGR)
The Malawi Gaming and Lotteries Authority (MAGLA) imposes a taxation system primarily based on the Gross Gaming Revenue (GGR) for licensed gambling operators. The standard tax rate ranges from 20% to 35% of GGR, depending on the specific type of operation and the terms of the operator’s license.

Tax Reporting and Payment Procedures

  • Gambling operators are required to submit monthly tax returns to MAGLA, detailing their GGR and calculating the corresponding tax due for the period.
  • Tax payments must be made on a monthly basis, typically within a set period after the close of each month (often within 14 days).
  • Operators must integrate with an electronic monitoring system mandated by MAGLA, which ensures real-time tracking of revenue and facilitates accurate tax reporting.
  • Failure to comply with reporting or payment deadlines may result in significant financial penalties, including fines and potential suspension of the operator’s license.

Tax Incentives, Exemptions, and Special Provisions

  • There are currently no broad tax exemptions for gambling operators in Malawi.
  • MAGLA may consider special provisions or incentives on a case-by-case basis, particularly for new investments or operators introducing innovative technologies, but such incentives are not standard and require formal application and approval.
  • Operators found in violation of regulations, such as permitting underage gambling, may face additional fines (for example, a K20 million penalty for allowing minors to participate).

Prohibited Individuals

Age Restrictions and Identification Requirements

Malawi enforces a strict minimum age requirement for all gambling activities. Individuals under the age of 18 are completely prohibited from participating in any form of gambling, including sports betting, lotteries, and internet gaming. Operators found allowing minors to gamble face substantial financial penalties, including fines of up to K20 million. Identification checks are mandatory to verify the age of players and prevent underage access to gambling services.

Prohibited Gambling Activities and Game Restrictions

  • All forms of gambling participation by individuals under 18 years old are strictly banned.
  • Operators are required to ensure that no child or minor is allowed entry or access to gambling premises or platforms.
  • There are no publicly disclosed additional prohibitions on specific game types beyond the universal age restriction, but all operators must comply with regulations covering sports betting, lotteries, and internet gaming.

Advertising and Marketing Limitations

  • Advertising and marketing of gambling products must not target or appeal to minors in any way.
  • Operators are encouraged to undertake public awareness campaigns, particularly aimed at educating young people about the risks and harms associated with gambling.
  • Promotional materials must avoid depicting minors or using imagery, language, or incentives that could attract individuals under 18.
  • Advertising content and placement are subject to oversight to ensure compliance with responsible gambling standards and to prevent exposure to vulnerable populations.

Responsible Gambling Requirements and Player Protection Measures

  • Operators are required to implement player protection measures, including robust age verification systems and monitoring mechanisms to detect and prevent underage gambling.
  • An electronic monitoring system is mandated for all operators, ensuring integration with a centralized platform to enhance compliance and transparency.
  • Staff of gambling operators must be trained on the new rules, especially regarding the identification and exclusion of minors.
  • Operators are expected to actively participate in public education and awareness efforts about the dangers of gambling, with a focus on protecting minors and other vulnerable groups.
  • Significant financial penalties are imposed for violations of player protection rules, reinforcing the seriousness of safeguarding measures.

Geographic and Location Restrictions

  • There are no specific geographic or location-based restrictions for gambling venues publicly disclosed beyond the universal requirement that minors are not permitted on any gambling premises.
  • Operators must ensure that access to gambling venues and platforms is controlled to prevent entry or participation by individuals under 18, regardless of location.

Timeline

Year/Date Event
1996 The Lotteries Act is enacted, providing the first formal legal framework for lotteries in Malawi.
1998 The Gaming Act is passed, introducing regulation for casino and gaming operations in Malawi.
2015 The Malawi Gaming and Lotteries Authority (MAGLA) is established, consolidating oversight of both gaming and lotteries under a single regulatory body.
2022 MAGLA begins reviewing and updating existing gaming and lottery regulations to address emerging industry trends and challenges.
March 2025 The Gaming & Lotteries Act is revised, introducing stricter regulations, including a complete ban on gambling for individuals under 18, significant fines for violations, and the implementation of an electronic monitoring system for operators.

Requirements

Software Certification and Technical Standards

  • Gaming software used by operators must meet technical standards set by the Malawi Gaming and Lotteries Authority (MAGLA), ensuring fairness, randomness, and integrity of games.
  • All gaming systems, including random number generators (RNGs), must be tested and certified by independent, MAGLA-approved testing laboratories before deployment.
  • Operators are required to implement robust technical controls to prevent tampering, unauthorized access, and manipulation of gaming outcomes.
  • Software updates and changes must be documented and, where necessary, re-certified prior to implementation in the live environment.

Data Protection, Privacy Measures, and Server Location

  • Operators must implement strong data protection protocols to safeguard customer information, including encryption of personal and financial data both in transit and at rest.
  • Access to sensitive data must be restricted to authorized personnel only, with audit trails maintained for all data access and modifications.
  • Operators are required to comply with Malawi’s data privacy laws, ensuring customer data is collected, processed, and stored lawfully and transparently.
  • Server location requirements may stipulate that core gaming servers and databases be hosted within Malawi or in approved jurisdictions, subject to MAGLA’s oversight and remote access for regulatory audits.

Anti-Money Laundering (AML) and Know Your Customer (KYC) Procedures

  • Operators must establish comprehensive AML programs, including the identification and verification of all customers before allowing participation in gambling activities.
  • KYC procedures require the collection and verification of government-issued identification, proof of address, and, where applicable, source of funds.
  • Operators must monitor transactions for suspicious activity, report any suspicious transactions to the relevant authorities, and maintain records of all AML checks and reports.
  • Ongoing customer due diligence is required, with enhanced scrutiny for high-risk or high-value transactions.

Financial Reporting, Auditing Standards, and Record-Keeping Requirements

  • Operators are required to maintain accurate and complete financial records, including detailed logs of all wagers, payouts, and player account transactions.
  • Regular submission of financial statements, certified by independent auditors, is mandatory to ensure transparency and regulatory compliance.
  • Operators must retain records for a minimum period specified by MAGLA, allowing for regulatory review and auditing at any time.
  • Systems must be in place to generate real-time and historical reports on gaming activity, financial flows, and compliance metrics.

Technical Implementation Requirements for Responsible Gambling Tools

  • Operators must integrate responsible gambling features into their platforms, including self-exclusion mechanisms, deposit and loss limits, and reality checks for players.
  • Technical systems must prevent underage gambling by verifying the age and identity of all users prior to account creation and play.
  • Operators are required to display responsible gambling information prominently and provide easy access to support resources for problem gambling.
  • All responsible gambling tools and controls must be tested for effectiveness and compliance with MAGLA’s technical standards.

Sources

Primary Regulatory Authorities

Legislation Resources

Mali South Sudan

Important Information Notice

Gambling regulations are subject to change. The information provided on this page was accurate at the time of publication, but may not reflect the current regulatory landscape. Always consult official sources for the most up-to-date information before making any gambling-related decisions.

Last updated: 21 April 2025