The Kenya Revenue Authority has recorded a sharp rise in revenue from betting services, collecting Sh13.233 billion in excise duty during the 2024/2025 financial year, well above the target of Sh11.288 billion.

This performance represents a 117.2 per cent achievement rate and marks a strong year for KRA’s efforts to tighten tax compliance in the betting industry.

The excise duty income rose from Sh10.598 billion in the previous year, reflecting continued growth in the digital betting space.

KRA also reported solid results in Betting Tax, bringing in Sh5.70 billion against a target of Sh5.495 billion.

This translated to a 103.7 per cent performance rate, representing a 22 per cent increase compared to the previous financial year.

The authority attributed the improved revenue to its ongoing integration of betting companies into its system, which allows for real-time oversight of betting transactions.

“This integration enables us to monitor transactions as they happen, reducing leakages and increasing efficiency,” said Commissioner for Large and Medium Taxpayers Rispah Simiyu.

“We are committed to expanding the tax base through Taxation at Source initiatives to promote fairness, efficiency and transparency in tax administration," she added.

The boost in betting tax revenues comes against the backdrop of economic pressure.

The 2025 Economic Survey showed Kenya’s economy grew by 4.7 per cent in 2024, down from 5.7 per cent in 2023, largely due to global slowdowns and local strains on consumption and credit access.

Despite these challenges, KRA’s total revenue collection for the 2024/2025 financial year reached Sh2.571 trillion, reflecting a 6.8 per cent increase.

“Our performance shows the importance of strategic targeting in mobilizing revenue from emerging sectors. We are especially encouraged by the gains made in the betting industry, which remains one of the fastest-growing digital sectors,” Simiyu said.

KRA said it plans to continue using digital systems and policy tools to ensure all sectors contribute equitably to the national budget.