Watch: How Botswana is building a sustainable casino economy
Botswana’s overlooked casino potential
As Botswana accelerates efforts to diversify its economy beyond its historic dependence on diamonds, beef, and tourism, a quieter yet promising contender has emerged in the form of land-based casinos. Portia Diteko, Responsible Gambling Manager at the Gambling Authority of Botswana, recently outlined the evolving landscape of the country’s regulated gambling sector. Her talk painted a picture of opportunity, framed within a stringent regulatory ethos and tempered by a deep concern for social impact. The question facing investors and regulators alike is whether Botswana’s casino sector is a calculated growth channel or a gamble too risky to back.
Early-stage growth in an underdeveloped market
With a national population of just 2.5 million and only seven licensed land-based casinos in operation, Botswana’s casino market remains notably underdeveloped. According to Diteko, this presents significant room for growth. “It’s an opportunity for people who are interested in establishing their land-based casinos or people in the value chain who would like to work with land-based casinos,” she explained. The current landscape, marked by low saturation and a steady economy bolstered by mineral exports and high-value tourism, positions the sector for scalable investment.
The country’s Economic Diversification Drive, a government-led initiative aimed at reducing reliance on diamond revenues, has formally identified the gambling industry as a strategic area for development. “If anything happens to the diamonds, we want to be able to have other industries which are generating revenue,” Diteko noted. In this context, land-based casinos are not only viewed as recreational enterprises but also as legitimate economic engines with the capacity to contribute to national GDP.
Government alignment and institutional transparency
Botswana’s approach to gambling regulation benefits from a rare combination of political will and structural oversight. The Gambling Authority functions as both the licensing and regulatory body, reporting directly to the Minister, who then presents outcomes to Parliament. Diteko remarked that this arrangement ensures “a lot of accountability in what we do… there’s a lot of transparency.”
This institutional integrity was exemplified during the recent licensing round for betting shops and Limited Payout Machines (LPMs). This process was broadcast on national media and opened to public scrutiny. Employment generation is also on the government’s radar. At present, the seven casinos collectively provide 273 direct jobs, leaving significant scope for expansion through job creation within and around the sector.
Capitalising on tourism synergies
Tourism remains one of Botswana’s flagship industries, and Diteko was quick to draw a connection between high-value travel and casino traffic. “Land-based casinos are highly associated with tourism, and Botswana does offer that opportunity,” she stated, pointing to the country’s international reputation for luxury safaris and conservation-led travel.
Botswana attracts affluent tourists, including high-profile visitors such as British royalty. “I watched a documentary where the Prince was saying that his mom, Princess Diana, used to take them to Botswana for their holidays,” Diteko recounted. Such global appeal positions the casino industry as a natural extension of the country’s hospitality and travel offering, especially in attracting well-heeled clients with both time and disposable income.
Navigating structural and social risks
Despite its potential, the casino sector in Botswana is not immune to risk. Diteko identified the volatility of tourism as a significant concern, particularly in light of the global disruptions caused by COVID-19. In response, the government is actively encouraging local tourism as a resilience strategy to maintain casino patronage during periods of international travel decline.
Stigma surrounding gambling also poses a significant barrier to market growth. Research conducted by the Gambling Authority revealed that negative perceptions are often based on early exposure to untreated problem gambling. “People who grew up watching problem gambling were more likely to believe that everybody who goes gambling in a casino is going to develop a problem,” Diteko explained. To counteract this, the Authority has launched a national anti-stigma campaign, emphasising the difference between responsible gambling and addiction.
Recent expansion into online betting and LPMs has raised questions around customer diversion. However, Diteko assured that demographic segmentation mitigates this threat. “People who are attracted to our land-based casinos are completely different from the people who are attracted to our online betting,” she noted, with casino clientele generally older and driven by social interaction rather than speed or convenience.
Maintaining integrity and safeguarding revenue
Botswana maintains a commendable public safety record, a fact Diteko used to reassure potential investors. “You can literally walk around the streets in the middle of the night,” she said, referring to the country’s stable security environment. Nevertheless, illegal gambling remains a persistent threat to the sector’s integrity and revenue base.
Substantial compliance and enforcement frameworks are in place to address this. In one high-profile campaign, machines from an unlicensed operator were destroyed in a public demonstration of the Authority’s zero-tolerance approach. “It was very fun crushing them,” Diteko quipped, underscoring the seriousness with which infractions are dealt.
Why sustainability starts with player protection
As the Responsible Gambling Manager, Diteko placed considerable emphasis on ethical gaming practices. She dispelled the common misconception that responsible gambling equates to being anti-gambling. “Responsible gambling doesn’t mean anti-gambling… our customers are safe and they keep coming back,” she asserted.
Botswana’s regulatory framework mandates that operators place player protection at the centre of their business models. “If we don’t protect them, then they are more likely to develop addiction… and therefore we will lose customers,” she warned. Sustainability, in her view, hinges not only on economic metrics but also on safeguarding consumer welfare.
A cautious yet confident step forward
Botswana represents one of the last untapped opportunities for investors seeking to enter a stable, transparent, and tourism-aligned casino market. With a clear regulatory structure, strong government backing, and an evolving framework for responsible gambling, the nation is laying solid groundwork for a sustainable industry. As Portia Diteko succinctly concluded, “This is an opportunity for everybody to have a piece of this pie.”
Whether Botswana emerges as a benchmark for responsible casino development or stumbles under the pressures of rapid growth will depend on how successfully it can balance commercial ambition with regulatory rigour and social stewardship.
