Licensed South African Bookmakers have called on banks and payment providers to halt transactions on “illegal” offshore gambling platforms, which they claim now account for almost two-thirds of all online betting activity in the country.
South African Bookmakers Association (Saba) has said in a new report from global gaming research firm YieldSec that unlicensed operators account for approximately 62% of online gambling activity in South Africa, contributing more than R50 billion in gross gambling revenues offshore each year. The report found that an estimated 16 million South Africans used these platforms last year.
“The majority of online gambling activity in South Africa is still taking place outside the regulated system,” said sean colmanSabah's CEO said in a statement on Tuesday. “This means millions of consumers are exposed to operators that pay no local taxes, provide no consumer protections and operate completely outside South African law.”
Under the National Gambling Act, it is illegal to offer or participate in gambling services in South Africa without a valid local license. Despite this, offshore operators continue to target South African consumers, often operating under licenses issued in jurisdictions such as Curaçao, Malta, Gibraltar and the Philippines that have no legal status in this country.
Sabah's sharpest interventions are targeted at the financial sector. Coleman argued that South African banks, third-party payment providers and credit card companies are effectively facilitating illegal transactions by processing payments between local consumers and offshore gambling operators.
“Every time a player based in South Africa places a bet on a foreign-based online gambling site, an illegal gambling activity is taking place – which involves, among others, the player's banks in South Africa,” Coleman said.
'Drain'
“South African banks and credit card institutions act as a conduit between the online gambler's banking account and the foreign-based gambling website operator's banking account, without which illegal gambling transactions would not occur.”
Saba warned that consumers who use unlicensed platforms face significant legal and financial risks. Winnings from illegal gambling activities are not legally protected and may be confiscated under South African law. Individuals may also face prosecution for participating in illegal gambling.
Reading: South Africa wants to tax online gambling. The industry is fighting back
“Many consumers are unaware that using these sites is not only risky, but also illegal,” Coleman said. “There is no guarantee that winnings will be paid out, and players have no recourse if they are defrauded or exploited.”
The YieldSec report was launched by Saba, which represents licensed speculators with a direct commercial interest in seeing unlicensed competitors closed down. – © 2026 NewsCentral Media
Get breaking news from TechCentral on WhatsApp. Sign up here.