Photo: Parks Tau, the minister of trade, industry, and competition
Political interference concerns have raised questions about the lottery’s licensing procedure. Tau has underlined the need of preventing any office-bearer or political party from having a financial stake in the winning bid. His choice to postpone the announcement, nevertheless, has raised rumors, especially because some bidders are said to have ties to the ruling ANC groups.
The head of the trade and industry committee in Parliament, Mzwandile Masina, has advocated for an investigation of the lottery license process. If a decision cannot be made before Ithuba’s license expires, he has also encouraged Tau to think about implementing a state-run lottery approach or issuing a temporary license.
The Ministry has not yet confirmed if Ithuba’s license will be renewed or whether lottery ticket sales would be impacted after May 2025, despite popular concerns. Furthermore, it is unclear how NLC grants will be handled after that date.
Since Ithuba is the only business now prepared to conduct the lottery, the government has two options: either suspend ticket sales completely or extend Ithuba’s license for a further year, which might lead to legal challenges from other bidders.
Meanwhile, In the event that ticket sales are suspended, NLC has backup plans to continue awarding grants for a maximum of 12 months. To cover operating expenses and guarantee financing for worthy projects that the lottery promotes, a reserve fund has been established.