The order was given in a case which claimed the regulation’s capital requirement was not put to the public via consultation.
The High Court of Kenya has effectively suspended the market’s new gambling licensing framework.
On Monday, Justice William Musyoka signed a stay order against the Gambling Control (Licensing) Regulations 2026, after a case was filed by Thomas Buckley Opar Owuor and Ken Brance. Owuor operates the Buckley Owuor & Co Advocates law firm based in Nairobi County. Previously he spent almost three years as Sportpesa’s business development director.
David Sarinke, partner at Kenyan law firm McKay Advocates, tells iGB the order effectively puts Kenya’s licensed gambling market on hold, because the new regulations applied only to licensed entities.
Sarinke says the case, and subsequent stay order, includes a constitutional argument, stemming from the heavily increased capital requirements for licensees.
According to Sarinke, the final requirements included in the legislation were higher than the original figures subjected to public consultation.
Under Article 10 of Kenya’s 2010 Constitution, public participation is classed as a national value and principle of governance.
“As soon as you have filed a case to object to a law coming into operation, then the court normally gives you orders to stop any implementation, especially if your grounding is based on some constitutional principles,” Sarinke tells iGB.
“The grounding is on a very key constitutional principle of public participation, which in my assessment is going to really affect the chances in terms of [the case] succeeding, because they’re saying that after publication there were other aspects added that were not subjected to public participation.”
‘Big blow’ for licensed gambling in Kenya
The new regulations, alongside the landmark Gambling Control Act, have been hailed by stakeholders in Kenya as a positive new era after years of turbulence.
The act replaced previous legislation dating back to 1966, while oversight of the sector was transferred from the Betting Control and Licensing Board to the newly established Gambling Regulatory Authority (GRA).
But with this new obstacle, Sarinke has concerns about the timeline for when exactly Kenya’s licensed gambling sector will be able to make progress.
“Really, this is a big blow, because the new law has already come into operation,” Sarinke continues.
“Now we are lacking a licensing framework, and depending on how long it will take, it’s going to be a few more months to sort of move forward.”
What happens now?
With the stay order in place, Owuor and Brance have 14 days to file their substantive judicial review motion.
In their initial application, the parties outlined their desire to see the current licensing regime scrapped entirety.
They claimed that “numerous operators” had expressed concerns over their ability to comply financially with the increased fees included in the new regulations, with some even contemplating closure.
As a result, the claim suggested thousands of jobs were at stake, alongside investments being withdrawn and ultimately government tax revenue decreasing.
After the substantive motion is received, stakeholders such as the regulator, the government and the Association of Gaming Operators Kenya (AGOK) will have 14 days to file and serve their respective responses to the motion.
The matter has been listed before the High Court on 21 September for directions on how the case will proceed. The GRA has not yet publicly commented on the ruling.
Until the court orders otherwise, the interim stay will remain in force, preventing implementation of the licensing regulations.
Kyle Goldsmith
Kyle has been with Clarion since December 2023, joining from the world of sports journalism, subsequently becoming a LatAm-facing senior reporter with iGB.
