Hong Kong may soon be legalizing basketball betting to claw back the estimated HK$90 billion ($10 billion) believed to be lost to illegal gambling operators.
The tactical move – spearheaded by the Hong Kong Jockey Club (HKJC) and the Betting and Lotteries Commission (BLC) – aims to redirect the colossal number of illegal wagers made on the sport back into a regulated, taxable system format.
As things stand, Hong Kong’s current gambling law only permits residents the option to bet on football (soccer), horse racing, and the Mark Six Lottery.
Despite these sectors commanding the lion’s share of the market, underground basketball betting has seen a massive upswing, with Hong Kong authorities struggling to curb its dramatic rise.
In fact, according to an HKJC estimate, illegal basketball betting handles were believed to have reached between HK$70 billion and HK$90 billion in 2024 alone, which included bets on March Madness and the NBA Finals.
In an attempt to underscore the need for introducing new legislation, Winfried Engelbrecht-Bresges, CEO of HKJC, claimed: “Up to 60 percent of the 150,000-odd speculators who illegally bet on basketball matches could be brought onto legal channels.”
A Sensible Strategy to Tackle Demand
The Hong Kong government acknowledges that while it doesn’t want to be seen as encouraging gambling, the demand to tackle the problem has become a key prerogative.
A point illustrated by a Home and Youth Affairs Bureau (HYAB) spokesperson who claimed: “If left unregulated, gambling would likely give rise to illegal activities and associated social problems.”
Under the newly proposed changes, the HKJC would be granted a specific license to facilitate residents with a platform for basketball betting – albeit under strict regulation guidelines.
These terms will include critical directives such as banning bets on Hong Kong-based basketball teams, as well as restricting underage gamblers from participating.
With a HK$87.2 billion budget deficit, the allure of legalizing basketball from the government’s perspective is also evident based on the prospect of its additional tax revenues.
When you consider the HKJC paid HK$14.1 billion in betting duties from horse racing and HK$9.8 billion from football in 2022 alone, an influx in taxable revenues from basketball would certainly be a very welcome addition.
With billions at stake, it’s clear why the Hong Kong government is keen to curb illegal betting markets. The ability to soon bet on basketball and the additional consumer protections and responsible gambling measures it will provide will undoubtedly be popular with residents, too.
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