Sri Lanka has taken a pivotal step to overhaul its fragmented gambling landscape with a newly published draft bill that proposes the creation of an independent Gambling Regulatory Authority.
Approved by the Cabinet on April 21, 2025, and now gazetted, the bill introduces a centralized framework to oversee licensing, compliance, and enforcement across land-based casinos, online betting platforms, offshore operations, and ship-based gambling.
President Anura Kumara Dissanayake, also the Minister of Finance, Planning, and Economic Development, has endorsed the reform as a tool to combat illegal operations, modernize oversight, and improve fiscal transparency.
Among its most forward-looking provisions is Section 33, which targets gambling software providers. The draft law requires developers and distributors to obtain licenses, uphold data protection standards, and incorporate responsible gaming features like player limits and addiction warnings.
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The bill also seeks to unify outdated gambling laws, replacing the Horse Racing Betting Ordinance, Gambling Ordinance, and Casino Ordinance with a modern regulatory structure.
Sri Lanka’s government is particularly focused on curbing tax evasion and money laundering linked to unregulated offshore gambling. The bill’s enforcement mechanisms aim to capture revenue previously lost in the grey market and better protect consumers. If passed by Parliament, the law could fundamentally reshape Sri Lanka’s gaming sector—aligning it with global regulatory best practices and signaling the country’s readiness to host a safer, transparent, and accountable gambling industry.
