GLOA Punches Holes Into KGL Revenue Comparisons

 

The Ghana Lotto Operators Association (GLOA) has pushed back against comparisons between its members’ contributions and payments made by KGL Technology Limited, saying such comparisons distort the realities of the lottery industry.

In a statement issued in Accra, GLOA said the 29 licensed Private Lotto Operators under the National Lottery Authority (NLA) are among the largest contributors to employment and grassroots economic activity, and should be judged on total economic impact, not headline revenue figures.

The group was responding to recent comparisons between KGL’s reported GH¢173 million contribution to the state and the GH¢44.9 million in licence fees paid by private operators to the NLA in 2025. GLOA said the two entities operate under “fundamentally different conditions,” making direct comparisons flawed.

According to GLOA, private operators are licensed under the National Lotto Act, while KGL operates as an NLA collaborator under a separate arrangement. The Association also cited KGL’s exclusive access to a dedicated USSD platform, which it said gives the company access to a large segment of the mobile lottery market unavailable to private operators.

“Market access is one of the most important drivers of revenue generation in the lottery business and any assessment of contributions to the NLA must take this reality into account,” the Association stated.

GLOA said private operators carry heavy infrastructure costs not borne by digital-only channels. These include financing Point of Sale terminals, lotto kiosks, transport, maintenance, and administrative systems. Operators also recruit and support thousands of lotto writers, agents, and supervisors nationwide.

The group said such investments account for about 60% of operating costs before winnings, taxes, and regulatory obligations.

“Each of the 29 licensed operators pays an annual licence fee of GH¢1.5 million to the NLA,” GLOA said. “Beyond that, operators contribute through taxes, payments to the Good Causes Foundation, and compliance with regulatory requirements.”

The Association said more than one million Ghanaians derive direct or indirect livelihoods from private lotto operations. This includes lotto writers who receive commissions of 25% of gross revenue and supervising agents who earn an additional 5%. GLOA said these commissions inject significant money into local economies.

The group argued that the industry also supports small and medium-sized enterprises through demand for kiosks, equipment, transport, and maintenance services in both urban and rural communities.

GLOA is, therefore, calling on government and regulators to adopt a broader framework for evaluating industry contributions that includes employment, taxes, infrastructure investment, payments to the Good Causes Foundation, operating costs, market access, and long-term sustainability.

“Private lotto operators have consistently supported the National Lottery Authority while making substantial investments in jobs and economic development,” the statement said. “The future of Ghana’s lottery sector should be guided by policies that recognise the full economic value generated by all stakeholders.”

 

A Daily Guide Report