According to scientific research, participating in lotteries is not addictive and in countries such as Kenya, the profits have gone into supporting many social projects.
When Lotto was licensed in November 2015, its mandate was to raise money for good causes. Since the launch, there have been 100 millionaires and five multi-millionaires. It has raised over Sh180 million for positive causes across the country. The majority of lotteries in the world are owned and operated by states for the purpose of raising funds for various initiatives in the community.
All social impact studies across multiple markets have proven that the lottery is a benign form of gambling. That means the chances of someone getting addicted to it are quite low, even negligible. Research carried out on behalf of the UK Gambling Commission demonstrated that only 0.7 per cent of problem-gaming arises from lottery play.
As such, there is virtually no direct evidence to suggest people who play lotteries are likely to become problem gamblers.
The benefits of taking part in a lottery by far outweigh the risks. In Kenya, the average Lotto player spends some Sh73 per month. An affordable sum by any measure. Lotto’s deliberate policy is to discourage multiple entries, and excessive spending. Under the banner, ‘You Win, Kenya Wins’, Lotto has upped the stakes: A Sh100 million raffle will be held on December 31.
This is not only the largest jackpot ever offered in Kenya, but also the largest currently anywhere in Africa. What a way to usher in the New Year!
Here’s Sh100 million in perspective: It is Sh1,000,000 per month for eight years. It is Sh250,000 per week for four years or, Sh5 million a year for 20 years. If you deposit it in a bank, and don’t touch it for 10 years, you will have Sh200 million at the current interest rate of eight per cent.
Lotto runs on the 6/49 format, one of the world’s most popular lottery formats, where six numbers plus a bonus number are drawn from a pool of 49. Lotto was launched with what was, at the time, a record breaking jackpot of Sh100million. But, despite the volume of its winners and millionaires, no player to date has had the good fortune to pick the six plus bonus number that could win the top tier Sh100 million jackpot.
It is only matched by the National Lottery of South Africa, which peaks at around 50 million rand (Sh361million). The largest payout to an individual on record to date in the industry is a Sh25 million jackpot.
Obviously, there are pessimists amidst us. Those who like to caution that when the deal’s too good, think twice. Rest assured, our mandate is not to harm but to help the community. So, as we announce these record-breaking jackpots, we remain very sensitive to social concerns about the growth of problem-gaming in the country. Besides generating some exciting festive returns for its players, Lotto also hopes that its record-breaking Christmas and New Year jackpots drive record contributions to the Lotto Foundation.
The Sh180 million raised in just one year has been applied to the support of a wide range of education, health, sports development and other social development initiatives across the country.
The Foundation was one of the largest sponsors of Team Kenya on the Road to Rio and the Kenyan Youth Team to the Youth Commonwealth Games in Samoa. And there are many other noble contributions.
Most importantly, it is not Lotto, but its players, who are the effective contributors to the Lotto Foundation’s good causes.
