Following the new phase of easing Covid-19 prevention measures, Mozambique intends to reopen physical casinos and resume social and economic activities from September 1st.
Mozambique located in the southern part of Africa sharing its border with South Africa with a population of over 30 million people in Mozambique the capital city Maputo, with different ethnics groups, includes makhawa, Tsong, Lomwe, and Sena, etc. Gambling is legal in Mozambique since 1994 and been regulated by the state, the gambling act of 1994 had some restriction like all casinos has to have 50km away from another casino center and must have a minimum investment of $15 million. In 2017 Mozambique government passed the gaming and gambling law so as to help the casino business in the country this move help with the increase of numbers of gaming licenses, help reduce the distance between casinos, this approach is to help boost tourism, economy and attract investors.
The global pandemic has hit the global gambling industry around the world, resulting in a worldwide shut down in the face of safety regulations. Recently, some governments agreed to reopen physical casinos, for example, England on August 15th in South Africa in July.
Travel restrictions have had a major impact on the land-based casino industry as the sharp decline in investor and customer traffic has led several countries to promote local tourism.
According to statistics as of August 25, Mozambique has confirmed 3,508 COVID-19 cases, 1,809 recoveries, and 21 deaths.
Mozambique’s President Filipe Jacinto Nyusi announced a new state of emergency with preventive COVID-19 measures on August 5. Phase 2 of the plan allows for “medium risk activities” to be reopened, including land-based casinos.
It is understood that such measures have been taken to resume socio-economic activity. The Confederation of Business Associations of Mozambique (CTA) said Mozambique’s corporate sector posted a loss of $ 453 million in the first half of 2020 due to the pandemic while the country is still in a “state of emergency”.
In addition, the government has not released details of the reopening of international flights.
Mozambique’s Minister of Culture and Tourism, Eldevina Materula, said that of the 1,199 units closed by COVID-19, 8% corresponds to travel agencies, casinos, and similar establishments.
Despite the difficulties this year, there is great optimism that the restrictive measures that have been imposed could lead to a rapid recovery of the cultural and tourism sectors. There is also a strong focus on revenue from the growing casino sector in Mozambique, which could translate into development opportunities.
