Explore how South Africa's booming online gambling industry is affecting the financial wellbeing of young people, with experts warning that even small bets can lead to significant financial strain.
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South Africa's booming online gambling industry is raising fresh concerns about the financial wellbeing of young people, as experts warn that small, frequent bets are quietly eroding already stretched household budgets.
According to the National Gambling Board (NGB), South Africans wagered approximately R1.5 trillion during the 2024/25 financial year, generating gross gambling revenue of around R74.9 billion. Betting now represents the largest segment of the country's gambling industry, fuelled by widespread smartphone access, online platforms, aggressive advertising and mounting economic pressure.
While headlines often focus on high-stakes gambling losses, financial education advocates say the greater risk for many young South Africans lies in the cumulative effect of relatively small bets. Amounts as little as R20, R50 or R100, placed repeatedly, can divert money that would otherwise cover essential expenses such as transport, mobile data, groceries, debt repayments or savings.
"When money is tight, gambling can start to look like a shortcut," says Tshepo Kgapane, product lead at free digital financial education platform Blackbullion South Africa. "But a R100 bet may be the same money that could have paid for data, transport, a meal, or the start of an emergency buffer. Repeated often enough, it becomes a serious financial leak."
The warning comes as Blackbullion South Africa's latest ZAKA Index (2025) highlights the financial strain facing young adults across the country. The recurring cost-of-living study found that 82% of South Africans between the ages of 18 and 35 earn less than R6,000 per month.
Food remains the single largest monthly expense for more than half (51%) of respondents, while an equal proportion say they experience financial stress every day. Four out of five respondents reported skipping meals or delaying important payments because they simply did not have enough money, says Kgapane.
Against this backdrop, Kgapane argues that even modest amounts of money can make a significant difference when managed differently.
"If you save R100 once a week, that becomes R5,200 in a year before interest. That could support job-seeking costs, course materials, transport, or an emergency fund. If that same R100 is gambled, the most likely outcome is that it is gone, and the emotional response is often to chase the loss with more money," says Kgapane.
Researchers are also becoming increasingly concerned about how gambling-related behaviours are developing among younger audiences. Wits University has previously highlighted the growing presence of gambling-like mechanics within digital gaming environments, including virtual currencies, paid randomised rewards, reward loops and time-limited purchase incentives.
Financial experts warn that these features can normalise gambling-style behaviour long before young people fully understand the financial consequences associated with risk-taking.
"Most young people are not careless with money. Many are trying to survive in a high-cost environment with very little room for error. The starting point is honest education around risk, trade-offs and what money could become if it is protected instead of chased," says Kgapane.
Leana de Beer, founder and CEO of WaFunda, says gambling cannot be viewed in isolation from the broader financial pressures confronting South Africa's youth.
"Young people are navigating a difficult financial environment, and many are looking for ways to stretch limited income or find creative ways to diversify income. This is where financial literacy plays a critical role. Young people need the knowledge and confidence to recognise the risks of behaviours like gambling and understand the long-term impact of their financial decisions," says de Beer.
WaFunda is Blackbullion Global's exclusive South African partner, providing free, youth-focused financial education through the Blackbullion platform to help young people build essential money skills and confidence.
For young people concerned about their gambling habits, De Beer recommends taking practical steps before gambling begins to affect their financial stability.
These include tracking betting expenditure through bank statements and e-wallet transactions, setting aside money for essentials such as rent, food, transport and debt repayments before payday, and removing easy access to gambling by deleting betting apps, removing saved payment details and unsubscribing from promotional messages.
She also encourages the use of self-exclusion tools offered by licensed gambling operators, speaking openly with trusted friends, family members or counsellors, and resisting the temptation to chase losses.
Support is available through the South African Responsible Gambling Foundation's National Responsible Gambling Programme, which offers free, confidential assistance via its 24-hour counselling line on 0800 006 008, she says.
"We want to serve young people better by listening to what they are experiencing. The more we understand about their financial realities, the better we can build tools and content that help them make smarter, more confident decisions," says de Beer.
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