The Middle East is one of the most fascinating regions of the globe, known as the cradle of civilization, home to Mesopotamia and Ancient Egypt. It is a part of Earth steeped in rich cultural and religious traditions. However, one thing it is not famous for is gambling, as betting practices have been largely prohibited in the Middle East on account of Islam, which strongly forbids gambling, outlawing it across the region.
The prohibition of these activities by Islamic teachings stems from their association with sin, as they get frowned upon for distracting people from their faith. Moreover, Islam emphasizes financial transactions, and gambling is seen as an unfair method of making money, given that someone is a loser in this activity. Islam also advises that people avoid reckless spending and promote societal well-being. That wealth should only be accumulated through productive means.
Most of Asia has a conservative stance on betting and gaming hobbies, primarily due to religious reasons. Yet, there are parts of the continent, such as the Philippines, which has a thriving gambling industry; Singapore, which has two massive land-based casino venues; and Kazakhstan, which has a regulated gambling sphere.
All that said, despite historical resistance, the growing popularity of gambling entertainment throughout the world has created tension in Asia and the Middle East in particular, as traditional values and contemporary interests have begun to now clash. Many young people, influenced by Western culture and what is trendy in the US and Europe, seek to explore pastimes that are all the rage on social media and online in general. Hence, below, we explore the evolution of sports betting in the Middle East, detailing what regulatory developments have occurred here and what the future holds for gambling in this section of our planet.
The Rise of Betting Interests
It is safe to say that over the past five years or so, Saudi Arabia has made some of the biggest sports moves that the world has ever seen. It is now pretty much the center of boxing, as Turki Al-Sheikh, the Chairman of the General Entertainment Authority and an adviser at the Royal Court, is seen as the most powerful man in the sweet science, responsible for putting on the most high-profile heavyweight contests in the last few years. In 2021, the Saudi Public Investment Fund planned a takeover of professional men’s golf with the LIV Golf League, which aimed to rival the PGA Tour.
The Saudi Pro League also saw a massive revolution in 2023, when global superstars like France’s Karim Benzema, Brazil’s Neymar, and Portugal’s Cristian Ronaldo signed with clubs from the SPL. In addition to this, Qatar hosted the highly controversial FIFA World Cup in 2022, and it has become obvious that the Middle East is now a hotbed for top sporting events. It, too, is the home to some of the most important horse races and tennis competitions. Hence, this substantial enthusiasm for sports has created a fertile ground for betting interest. That has happened even with the lack of legal gambling options, making informal betting networks thrive.
According to Grand View Research, the African and Middle Eastern online gambling markets together are projected to generate yearly revenues of around $4.8 billion right now. But this market is on track to bring in an annual take of $8.07 billion in the next five years, as international gambling operators are investing in these territories, which still have a chiefly anti-gambling stance. Nonetheless, expectations are that things will become laxer on this front as time passes.
Regulatory Developments
For more than a while, people living in the Middle East have gambled remotely on platforms based in other countries. Yet, that will likely slowly change as regulatory developments are now happening in the region. The United Arab Emirates recently became the first Arab State of the Gulf to set forward commercial gaming regulations and introduce a licensing framework for such pastimes. In September 2023, the UAE saw the birth of the General Commercial Gaming Regulatory Authority (GCGRA), which is now responsible for all gambling activities across the UAE, meaning it has the jurisdiction to regulate, license, and supervise operators active within UAE borders. Thus, this is a landmark move that probably signals the region adopting a more gambling-friendly shift. Still, we must note that specific regulations are being formulated, and gambling in the UAE remains forbidden outside the current projects’ scope
Saudi Arabia, despite its massive sports expansion, still strictly prohibits all forms of gambling, and the same applies to Kuwait, Jordan, and Qatar. Lebanon allows certain types of gambling, but the offered services primarily target tourists.
As noted above, internationally established gambling operators see tremendous potential in the Middle East, viewing it as an untapped resource, which is why they are trying to enter this market. Betway is one of these entities that is trying hard to get a foothold here, and it is doing that through Betway Arabia, a platform primarily catering to Lebanese users.
The Potential for a Betting Revolution in the Middle East
There is no doubt that economic considerations and the adoption of Western values will dramatically impact how the Middle East looks at gambling.
We currently do not know how many people are betting online from the Middle East, but given that a recent study showed that around 30% of adult males in Egypt are engaging in this activity, we assume the numbers are somewhat similar for those residing in the Middle East, especially given the rise of crypto wagering hubs over the past five years.
When countries’ laws become laxer toward allowing betting, we are sure that operators will face strict oversight and that operators will be required to approach this market with the necessary cultural sensitivity and be asked to try and gain public support through transparent communication. We doubt they will be permitted to engage in aggressive marketing practices, and our guess is that only globally famous operators will be allowed to enter first.
We project that given Saudi Arabia’s significant investments in sports, they may be the first to follow in UAE’s footsteps, even though they have not yet indicated a shift towards legalizing betting. Still, the UAE’s development may serve as an example for sports wagering legalization within the Middle East. That said, we doubt this will happen in the next two to three years.
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