General information about lotteries and funding

National Lotteries Board
South Africa





National Lottery Distribution Trust Fund

National Lottery

The NLDTF

The National Lottery Distribution Trust Fund (NLDTF) is established in terms of the Lotteries Act which designates members of the NLB as trustees of the NLDTF. It is their job to safeguard this money, invest it wisely, and ensure that it is put to the best possible use to benefit good causes.

The NLB is also responsible for reporting annually to Parliament on the management of the NLDTF.

At present the percentage of National Lottery revenue that is transferred to the NLDTF is 34%. This is fixed in the licence granted to the current National Lottery operator. Each week this percentage of National Lottery revenue is transferred to the NLDTF.

The annual contribution of the National Lottery to the NLDTF in recent years is detailed below:

2006/7 2007/8 2008/9 2009/10 2010/11 2011/12
R1.3 billion R0.7 billion R1.5 billion R1.6 billion R1.6 billion R1.7 billion

 

 

The financial year of the NLB and the NLDTF runs from 1 April to 31 March and funds accumulated during a particular financial year are available for distribution in the following year.

This includes interest earned on the money in the fund. Any money that is not allocated in a given financial year remains in the fund and can be allocated in subsequent years.

The allocation of NLDTF funds to the different sectors is set down in regulations and is currently as follows:

  • The Charities Sector receives 45% of the total pool.
  • The Arts, Culture and National Heritage Sector receives 28%.
  • The Sport and Recreation Sector receives 22%
  • An amount equal to 5% of the total is reserved for the Miscellaneous Purposes Sector. These funds are used for various activities that fall outside the scope of the main three sectors. Board members of the NLB allocate such grants in accordance with conditions set by the Minister of Trade and Industry.


The Lotteries Act also provided for allocation of funds to the Reconstruction and Development Programme but this fell away when government abolished the RDP Fund and decided to channel resources for reconstruction and development through individual government departments.

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