"Illegal gambling has been curtailed and this is demonstrated by the number of raids conducted in various provinces in an effort to deal with unscrupulous elements involved in [this activity]," she added Monday at the 6th Biennial South African Gambling Conference here.
Thabethe said the country's regulatory regime was functioning well since the establishment of the National Gambling Board (NGB) and other regulatory authorities.
However, more innovative ways on how best to deal with illegal gambling were needed and she called on operators at the event to assist in overcoming this challenge.
With the theme of the conference being "Gambling driven by technology", Thabethe urged delegates to examine how technology could advance efforts of curbing illegal gambling.
"My assertion does not suggest that we should not allow technological innovation to advance growth and inhibit development. As government, we will continue to embrace it."
South Africa is also facing the challenge of inter-active gambling, which is taking place illegally.
"I am glad that initiatives like the banks' intervention not to pay winnings from unlawful gambling activities and forfeit them to the State through the NGB, and the blocking of processing of credit card transactions relating to illegal online gambling ... are being explored," said Thabethe.
The gambling industry is growing at a rapid pace with positive economic consequences but the government is concerned about the social implications.
"I am extremely excited and optimistic about the future of this industry. As we nurture and develop it, we need to be mindful of proliferation and excessive gambling by the vulnerable," Thabethe warned.
The deputy minister said there was a need to sharpen responsible gambling programmes to keep up with the ever-growing industry.
"An effective self exclusion programme is one of the pivotal tools used to protect the vulnerable. We also need to put more effort on public education and increase awareness on the dangers of irresponsible gambling. We must take this message to all our communities," she added.
Thabethe said the conference should find ways in which self-exclusion could be utilised in the betting environment, even though it might be difficult to employ the register in this environment as compared with casinos.
"Research shows that as a country, we are at the forefront when it comes to treatment and responsible gambling programmes and ongoing management of the programme by the foundation remains a cornerstone of our society," said the deputy minister.
"Having concurrent functions as regulatory bodies, inevitably we will certainly encounter friction in the manner in which we regulate. We need to coherently work together as national and provincial regulators, within the prescripts of our Constitution in order to continue to effectively regulate the industry," said Thabethe.
South Africa will continue to participate in various fora such as International Association of Gaming Regulators (IAGR), Gaming Regulators Africa Forum and the Asian Racing Federation. South African Serobi Maja is the current chairman of the IAGR.Local racing is televised in more than 40 countries around the world.
"This shows the esteem the gambling regulatory regime (has) created, hence the international community has confidence by partnering with us," said the deputy minister.
Stakeholders in the gambling industry have also been drawn in to help government create jobs and meet its employment targets. It is hoped that new gambling initiatives that are being considered and researched will result in an increase in direct and indirect jobs created through these initiatives.
Thabethe said the government's New Growth Path development programs required the creative and collective efforts of all sections of South African society and gambling operators.
"More than five million jobs are envisaged by 2020 and we need a comprehensive plan, which will assist us to track jobs we would have created in this industry towards the end of 2020," she added.