India Cracks Down on Online Gambling with Sweeping New Law
In a significant move to curb the social ills of online gaming, India’s parliament has passed a comprehensive law banning online gambling, citing alarming statistics on the industry’s impact. According to government figures, over 450 million people lost a staggering $2.3 billion annually to online gaming apps, prompting lawmakers to take drastic action.
The new law, known as the Promotion and Regulation of Online Gaming Bill, effectively prohibits platforms offering card games, poker, fantasy sports, and other forms of online betting. India’s thriving fantasy cricket apps, which have gained immense popularity in recent years, are among those affected. The ban aims to address concerns around addiction, financial ruin, and social distress linked to predatory gaming platforms.
The government emphasized that roughly a third of the country’s population had lost money to online gaming, with widespread financial distress, addiction, and even suicides reported. In response, lawmakers opted for a blanket ban, which industry groups had opposed, advocating for regulation and taxation instead. However, supporters of the bill argue that the social costs associated with online gaming far outweigh the benefits of a more lenient approach.
India’s gaming industry, which ranks among the largest globally, will need to adapt to the new regulations. Notably, the law carves out exceptions for e-sports and educational games, which the government has pledged to promote as part of its digital economy initiatives. Prime Minister Narendra Modi hailed the new law, stating that it will “encourage e-sports and online social games” while safeguarding society from the “harmful effects of online money games.”
Ashwini Vaishnaw, Minister of Technology, clarified that the law differentiates between online “social” games and those played for money, promoting the former and strictly regulating the latter. The government has also expressed concerns about online gaming’s links to organized crime, including fraud, money laundering, and terrorism financing.
The move has sparked debate about the future of online gaming in India, with critics warning that the ban could drive players to illicit offshore platforms. While the law’s effectiveness remains to be seen, it marks a significant step in the government’s efforts to regulate the industry and protect its citizens from the associated risks.
