Sri Lanka set for major gambling reforms
The publication of a draft bill to establish a Gambling Regulatory Authority is pushing Sri Lanka towards a significant shift in its gambling framework.
Published under the directive of President Anura Kumara Dissanayake, if approved, the bill would come into effect as the Gambling Regulatory Authority Act.
According to Sri Lanka’s Cabinet Office, the Gambling Regulatory Authority would function “as the sole independent regulator with a broad and overarching scope on operations in the gambling industry”. This would include online gaming and offshore gambling activities on ships and in the Colombo Port City.
Currently, the only legal forms of gambling in Sri Lanka are betting on horse racing at venues such as the Royal Turf Club in Nuwara Eliya and at casinos such as Bally’s Casino in Colombo.
Under the proposed legislation, the current Horse Racing Betting Ordinance, the Gambling Ordinance and the Casino Ordinance would be repealed, with the Gambling Regulatory Authority replacing them as the singular overseer of Sri Lanka’s market.
The primary objective of the new bill will be to implement a series of proposals, including the collection of revenue from gaming activities and unregulated gaming.
Sri Lanka’s Cabinet approved the proposed legislation of Ministers on 21 April, and it must now gain approval from the 225 members of Sri Lanka’s parliament.
President Dissanayake is a member of the governing National People Power (NPP), which holds 159 seats, indicating that the odds appear to be in favour of the gambling reform receiving the green light.
Bangladesh renews online gaming battle
The trend is seemingly being set by Sri Lanka isn’t being followed across Southeast Asia, as Bangladesh has renewed a campaign against the vertical following the passing of a new law.
Under the newly passed Cyber Security Ordinance 2025, operating or promoting online gambling can lead to two years in prison or a fine of approximately $80,000.
Most forms of gambling remain illegal in Bangladesh under the Public Gambling Act of 1867, and online gambling operates in a grey area with no local regulation.
According to reports, since the bill was passed, authorities have identified over 1,000 financial service agents thought to be connected to illegal gambling transactions. Details of which have been passed to the Bangladesh Bank with a recommendation to revoke their professional licences and impose financial penalties.