Jamaica’s Gambling Industry Set to Experience Continued Growth, According to New Study
Posted on: October 13, 2023, 06:55h.
Last updated on: October 13, 2023, 06:55h.
According to a recent study by iGaming software provider Calimaco, Jamaica’s gambling industry is experiencing significant growth and is projected to continue expanding in the coming years.
The study conducted by Calimaco revealed a consistent upward trend in the Jamaican gaming industry, indicating significant progress within the sector.
Based on the findings, the gambling industry in Jamaica is expected to contribute to strong economic growth, with a projected compound annual growth rate of 6.31% in the coming years.
Jamaica Sees Impressive Revenue Growth in Gambling Sector
Between 2021 and 2022, second-quarter revenue in Jamaica’s gambling industry increased from JMD2.5 billion JMD (US$16 million) to JMD3.5 billion (US$19.9 million), representing a significant rise of 19.35%.
Furthermore, a year-on-year analysis of the entire year of 2022 compared to the previous year showed that the country’s gambling industry experienced remarkable development, with a growth rate exceeding 24% during this period.
Looking ahead, Calimaco predicts that the Jamaican market could reach JMD10 billion (USD$63.9 million) by the end of 2023, signifying a groundbreaking transformation that will have a powerful impact on the region and the nation.
Projections indicate ongoing rapid expansion in this figure, with estimates suggesting that revenue could reach JMD13 billion (US$83.1 million) by 2027.
Jamaica’s online gambling landscape is undergoing a significant surge driven by evolving regulatory frameworks and increasing demand for digital entertainment. The Caribbean nation has seen a notable shift in consumer preferences and regulatory dynamics, resulting in a rise in the popularity of online gambling platforms.
iGaming Progress and Challenges
Jamaica currently has around 20 land-based casinos and betting tracks available to both locals and tourists. The approval of the Betting Commission and Lotteries Act 11 years ago has ushered in a new era of gambling and shaped the current market.
However, efforts to establish a regulated iGaming ecosystem have been ongoing since the enactment of the Betting and Lotteries Act of 1965, which lifted a gambling ban in place since 1899.
The establishment of the Betting, Gaming, and Lotteries Commission in 1975 further advanced Jamaica’s regulated gambling efforts, leading to the current version of the Betting Commission and Lotteries Act. However, iGaming is still missing from the equation.
Jamaica currently has ambiguous regulations regarding iGaming. While online gambling is legal for tourists, locals are technically prohibited from participating in online gambling activities.
There is an exception for horse race betting, both live and simulcast, which locals are free to engage in. However, online casinos are off-limits. Despite the prohibition, Jamaicans who frequent online casinos are rarely penalized by authorities.
However, this also means that Jamaica is unable to benefit from the revenue generated by the online gambling segment. With the global expansion of iGaming, it is likely that Jamaica’s regulations will change soon.