FSGRN Signs Landmark Universal Licensing Agreement; Grants Fee Waiver to NLRC Licensees
After an apprehensive period of unease, the Federation of State Gaming Regulators of Nigeria has announced a unified licensing framework that may revolutionize the Nigerian gaming industry, writes Nseobong Okon-Ekong
A historic milestone in Nigeria’s gaming regulatory ecosystem was recorded recently in Lagos when member states of the Federation of State Gaming Regulators of Nigeria (FSGRN) formally signed the Sub-national Reciprocity Licensing Framework at the Radisson Hotel in Lagos.
The consensus among participating states ends months of anticipation following the Supreme Court judgement last November, which ruled in favour of state governments as the lawful authority permitted by the Nigerian constitution to regulate lottery and ancillary activities. That pronouncement by the apex court effectively ended the controversial reign of the National Lottery Regulatory Commission (NLRC) as a pan-Nigeria regulatory agency, but it also left a palpable concern among operators who paid huge sums of money as licence fees to the defunct NLRC.
In a move aimed at supporting continuity and acknowledging previous regulatory disruptions, the FSGRN has announced a full waiver of 2025 license fees for these transitioning NLRC-licensed operators, provided they meet the requirements of the FSGRN. These operators will instead be required to renew and pay the requisite license fees from January 1, 2026. The waiver of 2025 licensing fees for NLRC-licensed operators is effective immediately, and applications are now open through the Secretariat of the FSGRN.
The gaming regulators from across the country, under the auspices of the FSGRN, declared a unified framework for obtaining licenses for the operation of Online Sports Betting, Online Casino, Public Online Lottery, and Promotional Competitions across member states. It eliminates duplicative licensing burdens, enhances regulatory coordination, and fosters a more coherent, investor-friendly environment for operators seeking to do business within Nigeria.
Any intending operator will now only have to obtain a single “Universal Reciprocity Certificate” (URC), which authorises operations across all member states of the federation. As the FSGRN stated, “one URC covers all member states.”
As part of the transitional measures under the framework, all operators previously licensed either by the proscribed NLRC or the respective member states are required to apply for the URC through the Secretariat of the FSGRN.
At the signing event, the Chairman of the FSGRN and Chief Executive Officer of the Lagos State Lotteries and Gaming Authority, Mr. Bashir Are, stated, “This initiative underscores our collective commitment to true federalism, regulatory integrity, and economic pragmatism. With this reciprocity framework, we are creating a level playing field, upholding constitutional order, and enabling a more predictable operating environment for responsible gaming operators with utmost respect for the autonomy of respective states enshrined in the constitution.”
This development mirrors established practices in several federal jurisdictions around the world. Similar reciprocity-based or multi-jurisdictional licensing frameworks exist in countries such as the United States, where compacts between states support cross-border gaming operations; Canada, through provincial agreements; Germany, under the Interstate Treaty on Gambling; Switzerland, via the Intercantonal Gambling Concordat; and India, where various states recognize certain forms of regulated gaming activities under cooperative arrangements. These international examples affirm that Nigeria’s approach is consistent with global best practices in a country which practices constitutional federalism.
Michael Eja, Director-General of the Cross-Rivers Lotteries and Gaming Agency, stated that the framework reflected the spirit of inter-state collaboration that has long been missing in our regulatory space. According to him, it is a bold statement that Nigeria’s federating units can work together to simplify processes without compromising oversight or accountability.
Olajide Boladuro of the Oyo State Gaming Board (OYSGB) noted that the Universal Reciprocity Certificate will remove unnecessary barriers to entry for licensed operators and help foster a more vibrant and competitive gaming sector across states. Boladuro pointed out that “it’s a win for innovation, investment, and the rule of law”.
Lami Bello, Director of Emerging Tax Department at the Taraba State Internal Revenue Service, disclosed that for years, operators “have been caught in a web of overlapping requirements”. The current framework, he noted, “replaces that confusion with clarity and consistency, while ensuring that each state retains its constitutional authority to regulate gaming within its borders”.
This framework supports innovation, protects consumers, and promotes state-level revenue generation without compromising cross-border operational flexibility. Operators under the new licence will benefit from harmonised compliance standards, streamlined reporting protocols, and access to a broader market within a lawful, state-led system.
