GLOA Rejects ‘Unfair’ Comparisons with KGL

The Ghana Lotto Operators Association (GLOA) has pushed back against recent comparisons between the financial contributions of licensed Private Lotto Operators (PLOs) and those of KGL Technology Limited, arguing that such assessments present a misleading picture of the lottery industry’s realities.

While KGL’s reported GH¢173 million contribution to the state has drawn attention, GLOA insists that the 29 licensed private operators who collectively paid GH¢44.9 million in licence fees to the National Lottery Authority (NLA) in 2025 should be evaluated on their total economic footprint, not merely on headline revenue figures.

“The public is being presented with a comparison between entities operating under fundamentally different conditions,” the Association stated.

Different business models

GLOA explained that private operators function under the National Lotto Act, whereas KGL operates as a collaborator of the NLA under a separate arrangement. Direct comparisons of revenue contributions without considering these distinct frameworks, the Association argued, are inherently flawed.

A key concern raised by GLOA is the exclusive access KGL enjoys to a dedicated USSD platform. According to the Association, this arrangement grants KGL significant reach into the mobile-based lottery market, a competitive advantage not available to licensed private operators.

“Market access is one of the most important drivers of revenue generation,” GLOA noted, adding that any fair assessment of contributions to the NLA must account for this disparity.

Unlike operators that rely primarily on digital channels, GLOA said Private Lotto Operators maintain extensive nationwide physical networks. These require substantial investments in Point of Sale terminals, lotto kiosks, transportation systems, maintenance services, and administrative structures.

Operators also recruit, train, and support thousands of lotto writers, agents, supervisors, and sub-agents across the country.

According to GLOA, these investments account for approximately 60 per cent of operating costs before customer winnings, taxes, and regulatory obligations are factored in.

Despite these costs, GLOA said each of the 29 licensed operators pays an annual licence fee of GH¢1.5 million to the NLA. Beyond licence fees, operators contribute through taxes, payments to the Good Causes Foundation, and other regulatory obligations.

“These payments form an important source of funding within the lottery ecosystem,” the Association stated.

Overa million livelihoods at stake

GLOA described the private lottery sector as a major source of employment, supporting more than one million Ghanaians directly or indirectly. The nationwide network includes lotto writers, agents, supervisors, sub-agents, transport operators, and maintenance personnel.

Lotto writers receive commissions equivalent to 25 per cent of gross revenue, while supervising agents earn an additional five per cent. These commissions, GLOA noted, inject significant amounts into local economies and sustain thousands of households.

“The value of supporting more than one million livelihoods must form part of any serious assessment of the industry’s contribution,” the Association emphasised.

GLOA is urging government, regulators, and policymakers to adopt a broader framework for evaluating contributions within the lottery industry. They demand an evaluation that considers employment creation, taxes, infrastructure investments, Good Causes Foundation contributions, operational costs, market access, and long-term sustainability.

“The future of Ghana’s lottery sector should be guided by policies that recognise the full economic value generated by all stakeholders,” the Association concluded, “particularly the industry’s contribution to employment creation, revenue mobilisation and national development.”