SportPesa To End Kenyan Premier League Sponsorship Following Tax Increase

Sport betting company SportPesa announced it will end its sponsorship of the Kenyan Premier League "after the government imposed a hefty tax increase on gaming revenue," according to the BBC. SportPesa CEO Ronald Karauri said that "the 35% increase would negatively affect its business operations." KPL CEO Jack Oguda said that the news was "devastating for Kenyan football." SportPesa's sponsorship of teams outside of Kenya will not be affected. The tax was imposed to "deter minors from betting." The Parliament of Kenya "initially slapped a 50% tax on bookmakers, lottery companies and sports betting sites, which was lowered to 35% before the president signed it to law." BBC Africa's Stanley Kwenda commented the decision is a "huge blow to Kenyan sport in general because SportPesa also supports rugby and boxing in Kenya." It sponsors two of the biggest Kenyan football teams, Gor Mahia and AFC Leopards, the Kenyan Premier League and the Kenya Football Federation (BBC, 6/23).