The National Lottery Administration of Ethiopia was established as the first autonomous & legal state lottery by Proclamation number 183 in 1961. The Administration began its operation by issuing conventional lottery named Regular lottery on September 8, 1961 G.C(on Ethiopian New Year “Enqutatash”) which was drawn after staying four months in the market .This lottery was drawn on the promised & planned date of drawing i.e .7 January 1962 (on Ethiopian Christmas-“Genna”). This lottery also had five perforated parts of the same number winning Birr 10,000 each in the 1st prize. The Administration was again reorganized & strengthened by proclamation No 210/1981. According to this proclamation National Lottery Administration has dual objectives. The first objective is operating and administrating money lottery. The other objective is regulating and controlling all activities that are related to lottery games and gambling. The second objective includes the power of issuing permits to other persons who carry out Tombolla and sport betting, suspend and cancel the permits for sufficient reasons, and collect charges for the permits issued. It has also a power to give permit or restrict the importation of game related items and machines such as:-
· Playing cards
· Articles of billiards
· Articles of Casino and Bingo
· Video games
· Other games (disk or coin operated).
The Administration has played an important role for more than 45 year in Ethiopia’s socio-economic development:-
· by paying to the prize winners which reaches 43.4% of the total income on the overage;
· by paying commission for itinerary lottery vendors & agents which reaches 17% of the total income.
· by covering its own operational expenses (printing, advertisement, salary etc)which reaches 17.8% of the total income.
· by transferring the profit for the well being of the people through Government expenditure which can remain 21.8 % of the total income.
The Administration is now accountable by proclamation No.256/94 to the Federal Government Ministry of Revenue.