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Mozambique loosens rules on new casino development
Published:  08 February, 2010

Many casino operators’ attention is likely to be turning to Africa this winter, with regulations easing in Mozambique and a South African licence up for grabs.

The relaxed Mozambique gaming regime, unanimously approved by the nation’s assembly in June and now signed into law by President Armando Guebuza, will allow casinos to be developed throughout the country.

Currently Mozambique – a nation occupying roughly the same area as Turkey, with a population of around 20m – has just two casinos, one in the capital Maputo and another in Namaacha, near the Swaziland border.

Under the new rules, although casinos must still be built with hotels, the minimum hotel size of 250 rooms has been removed, and minimum investment reduced from $15m to $8m.

Slots will also be permitted in non-casino areas for the first time.

In South Africa, meanwhile, Tsogo Sun Gaming’s licence to operate in zone 2 of Eastern Cape province expires in September 2011, and the Eastern Cape Gambling and Betting Board (ECGBB) is inviting applicants to compete for it. Tsogo Sun’s current zone 2 location is Hemingways Casino in East London.

The final deadline for applications – which should include hotel and restaurant facilities and demonstrate local shareholder involvement – is 7 May.

The last two casino licences put out to tender by the ECGBB were retained by incumbent Sun International, which has now also opened its first site outside southern Africa. The Federal Palace in Nigeria’s largest city Lagos has just eight gaming tables and 195 slots. The $24m project, which includes a 632-room hotel, is Sun International’s first foray into the west African market.

Its southern Africa locations are in Botswana, Lesotho, Namibia, South Africa, Swaziland and Zambia.







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