Health and Hygiene

Commercial determinants of health: The case of Kenya’s gambling industry

5 min

by

Abubakar Abdallah Kheir

While the individual measures on gambling aim to alleviate conditions such as depression, anxiety, and substance abuse, they address only the symptoms rather than the root causes. Systemic problems—such as weak structural regulations that permit over 100 betting firms to operate without limits on daily wagers—continue to drive industry growth. This regulatory void, coupled with lenient advertising and tax policies, creates an environment where gambling companies thrive unchecked.

Commercial industry actors exert a multifaceted influence on global health and play a crucial role in developing and delivering essential health goods and services, according to the World Health Organization (WHO). Yet, some of these same products and practices have been linked to rising disease burdens and widening health inequities. Critics contend that they prioritize profit over public health, undermining both human and planetary health and favouring a regulatory focus on individual responsibility.”  In contrast, proponents argue that commercial actors contribute to economic development by creating jobs and generating revenue. As their presence grows — driven by a diverse range of products and services, innovative practices, and an increasing role in shaping global policies — it becomes increasingly important to critically examine their impact on global health.

Gambling industry in Kenya

A striking example of commercial actors’ influence on global health is the gambling industry in Kenya, where participation has reached 83.9%, establishing it as a major economic force, despite evidence of its negative impact on mental health and other societal issues. The ease of access lures many youths from low-income backgrounds, exposing them to financial ruin, crime, mounting debts, depression, and even suicidal tendencies — a reality underscored by a study in Australia, which found gambling was associated with 2% of suicides between 2010 and 2012. Nevertheless, policy responses have primarily focused on individual punters through interventions such as education about gambling harms, and “responsible gambling” campaigns. This pattern is mirrored among other commercial industries, such as the tobacco industry, where interventions focus solely on individual smoking cessation, overlooking aggressive marketing and tax evasion practices.

While the individual measures on gambling aim to alleviate conditions such as depression, anxiety, and substance abuse, they address only the symptoms rather than the root causes. Systemic problems—such as weak structural regulations that permit over 100 betting firms to operate without limits on daily wagers—continue to drive industry growth. This regulatory void, coupled with lenient advertising and tax policies, creates an environment where gambling companies thrive unchecked. For instance, a leak from the Betting Control & Licensing Board (BCLB) revealed that betting firms generated KSh 30 billion in a single month in 2019, and by 2023, the Kenya Revenue Authority (KRA) collected KSh 15.1 billion from these companies, a 23.9% increase from previous years.

Influence tactics and broader Implications

The power of the gambling industry is amplified by its ability to shape public preferences and policy debates on health inequalities. Key tactics include:

  • Marketing Tactics: Betting companies leverage “free” betting offers, misleading advertisements such as “no-sweat”, “guaranteed money” and attractive bonuses to drive engagement. This strategy extends across other commercial actors, as seen with diet drinks, e-cigarettes, and flavoured tobacco or nicotine items, which are often promoted using false health claims, underscoring a broader pattern of commercial actors using persuasive, yet misleading messages to influence consumer behaviour.Dolphins are smart and agile and like to interact with humans.
  • Corporate Social Responsibility (CSR): Betting companies use advertisements and CSR activities to bolster their image, particularly among youth. For example, football betting, accounting for 83% of bets, is often disguised as sports promotion, with companies like Betsafe supporting financially troubled Kenyan Premier League teams. They also engage celebrity youth content creators and dominate social media platforms. Similarly, a study across lower-income countries revealed that celebrity engagement strategy is also used by the sugar-sweetened beverage industry to target young consumers. Here, the youth may be more susceptible to marketing from admired celebrities and brand-recognized companies.
  • Political and Legal Influence: The BCLB attempted to ban celebrity endorsements and outdoor billboard advertisements. Betting companies described the measure as dictatorial and harmful to media revenues and national income.  When challenged in court, the ban was declared “unconstitutional” due to procedural impropriety. Similar tactics are evident in other regions; for example, during its submissions to the 2013 Australian Parliamentary Sports Betting Advertising inquiry, the industry distorted the portrayal of gambling-related harms. They misrepresented data, omitted essential findings, and put forward unsubstantiated claims. In doing so, they leaned on research, often marred by conflicts of interest that tend to frame certain behaviours as inherently pathological.
  • Tax Evasion and Regulatory Challenges: Tax evasion remains a significant issue among betting companies in Kenya, with the KRA flagging instances where betting firms inflate CSR costs to reduce taxable income, ultimately undermining public revenue and regulatory measures. Similar tactics are evident in the tobacco industry, where illicit cigarette sales often lack proper health warnings and dilute taxation policies aimed at making tobacco products less affordable. A study in Western Balkan countries found that 20.4% of current tobacco companies evade taxes, revealing a broader pattern of tax avoidance that weakens public health initiatives across sectors.

Structural and systemic solutions

There is a pressing need to shift towards more structural, systemic interventions. Many such interventions have been implemented in high-income countries, and a number of these approaches can be adopted for developing nations like Kenya. For instance, limiting the number of gambling venues and imposing stricter licensing criteria has proven effective in reducing frequent gambling and overall participation. Likewise, legislative restrictions on misleading marketing practices, such as those portraying gambling as harmless have yielded positive outcomes. In Ontario, Canada, algorithm-driven advertisements promoting gambling inducements, bonuses, and credits are prohibited, with regulators actively issuing fines for non-compliance.

Moreover, requiring gambling operators to contribute a portion of their revenues to prevention and treatment initiatives provides a promising approach. In Trinidad and Tobago, the Rehabilitation Fund is designed to receive 5% of operators’ gambling revenues annually, a model similarly adopted in Namibia and various U.S. states (Massachusetts, Illinois, Virginia, and Pennsylvania).

In summary, the gambling industry’s tactics from misleading marketing and strategic CSR to political lobbying and tax evasion create an environment that not only normalizes harmful gambling but also shifts the burden of gambling-related harms from individuals to society, worsening health inequities. To counter these effects, there is a pressing need for structural, systemic interventions. These include limiting the number of gambling venues, enforcing stricter licensing criteria, and legislating against misleading marketing practices. Additionally, requiring operators to contribute a portion of their revenues to prevention and treatment initiatives could help mitigate these societal harms.

Abubakar Abdallah Kheir
Public Health Officer, community health programmes, Kenya