The proposed reforms are contained in the National Lotteries and Gaming Regulatory Board's (NLGRB) five-year Strategic Plan (2025/26–2029/30), launched on Monday alongside the Board's Client Charter and Service Delivery Standards.
Speaking at the launch, NLGRB Chief Executive Officer Denis Mudene Ngabirano said the Board intends to amend the Lotteries and Gaming Act to strengthen regulation of online gaming platforms and impose harsher penalties on illegal operators.
Ngabirano said the current fines are too low to discourage offenders, with many returning to the business after paying court-imposed penalties.
"We have so far prosecuted 26 people involved in importing and distributing illegal gaming equipment. Twenty-three have been convicted and fined about Shs900,000 each, but many of them return to the same business because the penalties are not punitive," he said.
He said some operators continue importing gaming machines and spare parts, assembling them locally and distributing them across the country because the profits far outweigh the penalties under the current law.
"The objective is to make the penalties more punitive so that people desist from importing and distributing illegal gaming equipment," Ngabirano said.
He added that illegal gaming operators expose gamblers to unregulated systems that offer little consumer protection while denying government tax revenue because they operate outside the licensing regime.
The proposed amendments will also strengthen oversight of online and digital gaming platforms, which have grown rapidly in recent years.
Launching the strategic plan, Finance Minister Henry Musasizi said the government wants to strengthen regulation of the gaming industry while increasing its contribution to domestic revenue.
He said the five-year strategy is built around four priorities: strengthening the regulatory framework, promoting responsible gaming, leveraging technology and innovation to improve oversight, and enhancing institutional governance and partnerships.
Musasizi said improved enforcement and compliance among licensed operators are expected to boost both tax and non-tax revenue from the sector.
"The gaming industry continues to expand its contribution to government revenue, employment and investment," he said.
He added that as gaming increasingly shifts to digital platforms, regulators must embrace technology to improve compliance, information sharing and evidence-based decision-making.
The minister said the newly launched Service Delivery Standards introduce clear timelines for processing licence applications, conducting inspections, approving gaming products and handling public complaints to improve transparency, accountability and efficiency.
Ngabirano said the gaming industry generated Shs368 billion in tax and non-tax revenue during the last financial year and employs about 24,000 Ugandans, around 85 per cent of whom are women.
He added that the industry also supports property owners through rental income generated by approximately 2,700 licensed gaming outlets across the country.
Despite the sector's economic contribution, Ngabirano urged the public to view gambling as a form of entertainment rather than a source of income.
"Gaming is entertainment for the player. It is not a business. People should only bet what they can afford to lose and understand that winning is never guaranteed," he said.
He said the Board promotes participation only by adults aged 25 years and above and is working with the Ministries of Education and Health, the Uganda Police Force and other agencies to discourage underage gambling and promote responsible gaming.
The regulator has also rolled out public awareness campaigns targeting schools, markets, boda boda associations and other community groups to educate the public on responsible betting and reduce gambling-related harm.
Government says the new strategic plan is intended to strengthen regulation, improve compliance, increase domestic revenue mobilisation and position the gaming sector to contribute more effectively to Uganda's socio-economic development over the next five years.