National Lottery Goes Digital in Tanzania

Digital Innovation Reshapes Tanzania’s Lottery Industry

DAR ES SALAAM: The rapid expansion of digital platforms, driven by increased internet penetration and the widespread use of smartphones, is revolutionizing the lottery industry in Tanzania. This transformation is enhancing accessibility, increasing participation, and boosting revenue streams.

According to Kelvin Koka, Director of Ithuba Tanzania, the recent strategic partnership between the National Lottery and HaloPesa marks a significant milestone in expanding lottery services across the country. "With advancements in digital infrastructure, online lottery platforms are leveraging cutting-edge technology to enhance user experience and ensure secure transactions," he explained.

Strategic Expansion and Economic Impact

Ithuba Tanzania has been officially appointed as the operator of the National Lottery for an eight-year term, backed by an initial investment of $20 million (approximately 50 billion TZS). The National Lottery is set to distribute 120 billion TZS in prize money this year alone, creating over 2,000 jobs nationwide.

The shift from traditional paper-based lottery systems to digital formats is not only increasing accessibility but also diversifying gaming options, making participation more convenient for users across Tanzania and beyond.

Global Trends and Market Growth

This shift aligns with global trends, as the Global Online Lottery Market, valued at $335 billion in 2023, is projected to grow at a compound annual growth rate (CAGR) of 5.2% from 2024 to 2032. The rise of online lottery platforms reflects a broader movement toward digitalization in the gaming and entertainment sectors worldwide.

Digital Integration for Seamless Participation

HaloPesa Deputy Managing Director, Magesa Wandwi, highlighted the benefits of the partnership, emphasizing that the integration will significantly enhance the digital experience for Halotel and HaloPesa users. By enabling nationwide participation without the need for physical tickets, this collaboration aims to streamline access and expand lottery engagement across Tanzania.

Supporting Economic Development

Beyond gaming, the Tanzania National Lottery plays a critical role in economic development. A portion of the lottery proceeds is allocated to fund key socio-economic initiatives, contributing to national growth and community welfare.

As digital transformation continues to reshape industries, Tanzania’s lottery sector is embracing innovation to create a more accessible, secure, and engaging experience for participants, ensuring sustainable growth in the years to come.