When Rwanda’s new gaming tax regime took effect in September 2025, the government emphasised that the measure was not only about raising revenue but also about curbing the challenge of addiction, especially among young people. The move has reignited debate about gambling in the country, its impact on vulnerable groups, and whether regulation can truly protect those at risk. For many youths, the promise of easy money has turned into painful lessons and losses that go far beyond the financial. Betting dreams, crushing losses Egide Kwizera Mucyo, a 25-year-old university student, recalls how his first encounter with gambling came from his friends who insisted that betting on the English Premier League and other European leagues was a lucrative venture. He says they would stake on all the games, hoping to multiply their cash quickly. At first, it seemed harmless, but then he was tempted to stake part of his tuition and research money, convinced that a big win would cover everything. Instead, he lost it all. “I nearly got expelled from university after that. That was when I decided to stop,” Mucyo says. ALSO READ: Why tax on gambling was hiked by 27% Even then, the lure was not easy to escape. Another friend introduced him to Aviator, a high-speed digital betting game that promised bigger returns on small stakes. He hoped to recover his losses, but the outcome was the same: more money gone, more regret. Jean Bosco Mugabonake, a moto taxi operator, tells a similar story. His friends convinced him that betting was the quickest way to multiply daily earnings from his motorbike. He began spending long hours in betting shops in Kimironko and Nyabugogo, watching games and chasing wins that rarely came. “I would spend half the day in a betting shop, following games, but I lost more than I won. I would say ninety per cent of the time I lost, and I realised I was falling in debt,” he says. The debts grew until he struggled to service his bike loan. He recalls colleagues who went further, selling bikes, houses and even land in the hope of striking it rich. For many, those dreams ended in bankruptcy. The hidden dangers of Aviator Five years ago, Gerald Munyangaju, 28, started playing Aviator, a form of gambling offered by different operators where players bet on an online multiplayer “crash game,” trying to cash out before a virtual plane flies away. ALSO READ: Rwanda lifts suspension on gambling licensing “The longer the plane stays up, the more your money multiplies. When I started, I was winning, but eventually I started increasing my stake,” Munyangaju says. He soon discovered the hidden dangers of the game, which is locally known as ‘Akadege’ and extremely popular among young people, including those who do not even bet on sports. Recent conversations on social media indicate that many young people with smartphones are playing Aviator. Its risks are deeply tied to its design. The rising multiplier creates a powerful psychological trap where players are tempted to hold on for a bigger win, only to lose everything when the plane flies away. “When you want to give up, the plane stays up longer and you multiply your stake and even win. After winning, you stake again to double the money, and the plane flies away just when you were about to win the money,” Munyangaju explains. This “near-miss” cycle triggers the same dopamine rush as slot machines, previously known as ‘Ibiryabarezi,’ which the government banned in 2022, making Aviator highly addictive. The illusion of control is another danger. Features like auto-bet, statistics, and “provably fair” technology convince players they can strategize their way to success, though the outcome is entirely random. ALSO READ: The dark side of gambling: Expert talks safe betting and societal effects Even the 97 per cent Return-to-Player (RTP) statistic is misleading. Many interpret it as a guarantee of recovering most of their money, but in practice it reflects aggregate outcomes across thousands of players. Individual players can still lose everything in minutes. Financial harm escalates quickly: chasing a high multiplier can wipe out multiple rounds of small wins, and risky strategies like doubling bets after losses can spiral into large debts. For younger or inexperienced gamblers, Aviator’s mobile-friendly, low-bandwidth design and interactive chat make it especially dangerous. It feels like a game, not high-stakes betting, lowering barriers to entry and normalising gambling, exposing players to early addiction. From revenue tool to deterrent Earlier this year, Parliament approved sweeping changes to the way gaming is taxed. Under the new structure, the tax rate on gaming companies’ net revenue rose from 13 to 40 percent, while the withholding tax on players’ winnings jumped from 15 to 25 percent. The aim is twofold: to increase fiscal revenues and to raise the cost of gambling in order to discourage excessive betting. Minister of Finance and Economic Planning, Yusuf Murangwa, explained the rationale, stressing balance between economic gain, entertainment, and social protection. “Gambling is entertainment, which is good, and it is an economic activity with potential gains. But we also see possibilities of negative implications, especially if it leads to addiction,” Murangwa told Journalists while announcing the changes in the tax policy earlier this year. “The tax measures we put in place are different from taxes on other goods. They were carefully designed, informed by experts, and we will observe the market to make adjustments where necessary. The goal is to balance entertainment, economic gain, and protection against harmful behaviour,” he said. ALSO READ: 10 key takeaways from new gambling policy The new rules followed a suspension of new gaming licenses in mid-2024, allowing regulators to review the sector. Now, with licenses being reissued under tighter conditions, the government is committed to stronger oversight, transparency, and protection against financial and social harm linked to gambling. Officials argue that taxation can be an effective control tool. By increasing the tax burden, they hope to make reckless betting less rewarding and reduce speculative gambling. But if rates are too steep, licensed operators may struggle, and gamblers may turn to unregulated platforms where risks are greater. The human cost For those who have fallen into addiction, the costs are more than financial. Gambling addiction can be as destructive as drug or alcohol dependency, altering the brain’s reward system and trapping players in cycles of loss and desperation. In Rwanda, mobile connectivity and online betting have made gambling easier than ever. Students, job seekers, and low-income workers are particularly vulnerable. Many borrow money or dip into essential savings, hoping for a turnaround that rarely comes. Families strain under mounting debts, while individuals face isolation, shame, and despair. Mucyo, Mugabonake, and Munyangaju’s stories illustrate the reality behind the numbers. Tuition lost, debts mounting, and dreams deferred—these are the hidden costs of an industry that thrives on the promise of luck but often delivers ruin. Industry response Thierry Nshuti, Commercial Director of Forzzabet Rwanda, told The New Times that the company is taking responsible measures to protect players. “We followed the new regulations as they are. We avoided compensating players with bonuses to give them time to think. Some of our competitors decided to pay taxes for them or give them bonuses, and this doesn’t facilitate players,” he said. ALSO READ: RDB to take over regulatory powers of local gaming sector “In addition, we continue advising them and educating them on addiction prevention. Our system can detect addiction and put a stoppage on accounts in danger. These people are supported to meet psychologists. We will continue raising awareness on addiction in gambling via all our communication elements, from advertising tools to sponsorship of campaigns, to avoid addiction not only on gambling but also drug abuse.” Nshuti said. Responsible gaming and regulation The Rwanda Gaming Association Executive Director, Jean Claude Mushimire , said the sector is working to protect players while ensuring sustainable industry growth. “We work with our members to tackle gambling addiction and encourage responsible gaming. Companies are expected to act responsibly, protect players who may be struggling, and safeguard minors,” Mushimire said that many local companies already offer responsible gambling services, and they continue to develop awareness programs, staff training, self-exclusion tools, and support networks. “While the new taxes are challenging, we advocate for a gradual approach that allows both operators and players to adjust responsibly, without undermining the industry’s stability,” he said. For many operators, balancing profit with social responsibility remains a delicate task. They acknowledge that gambling poses risks, yet education, monitoring, and responsible practices can mitigate harm. Toward a safer gaming environment The challenges are clear: the government must balance regulation and revenue collection with effective measures to prevent harm. This requires more than tax policy. It means building prevention and education programs that help young people understand the risks, ensuring access to counseling and treatment for those already affected, and demanding genuine accountability from operators. It also requires robust oversight, with regulators monitoring transactions in real time, enforcing compliance, and penalising operators who exploit vulnerable players. ALSO READ: Gambling addiction: Are students falling prey? Data transparency, industry reporting, and public awareness campaigns could go a long way in ensuring gambling remains an occasional pastime rather than a destructive addiction. The future ahead Rwanda’s new tax regime is a signal that the government recognises gambling as more than just a leisure activity. It is an economic sector with potential, but also a social hazard with heavy costs. Whether the new tax will achieve its intended purpose depends on how well it is enforced and how seriously all stakeholders take their role in protecting citizens. For Mucyo, Mugabonake, and Munyangaju, the lessons have already been learned the hard way. Their experiences show that the odds are rarely in the gambler’s favour, and the cost of chasing quick riches can be far greater than the stake placed on any bet.
