Government Introduces Online Gaming Promotion and Regulation Bill-2025 in Lok Sabha

National News: On Wednesday the Central Government introduced the Online Gaming Promotion and Regulation Bill, 2025 in the Lok Sabha, a day after the Union Cabinet approved it. Presenting the bill, Union Minister Ashwini Vaishnav said the law seeks to “promote innovation” while “protecting citizens” from the risks of digital misuse. The Ministry of Electronics and Information Technology highlighted that while digital technologies bring immense benefits, they also create new challenges that require strong safeguards.

Why the Bill is Special

The bill adopts a dual strategy—promoting e-sports and positive social gaming on one hand, while enforcing a stringent ban on harmful real-money gaming platforms on the other. Online betting, gambling, and fantasy sports that involve monetary stakes—including poker, rummy, lotteries and similar activities—are prohibited. The move aims to protect youth from deceptive real-money gaming apps that lead to addiction, financial losses, and even family crises.

Tackling Addiction and National Security Risks

According to the government, online money gaming often results in serious consequences such as addiction, bankruptcy, and even suicide. Moreover, such platforms have been linked to financial fraud, money laundering, terrorism financing, and illegal messaging networks, posing grave threats to national security. By bringing online activities under the same legal framework as physical betting and gambling bans, the bill aligns with the Indian Justice Code, 2023 and various state laws.

Promotion of E-Sports and Social Games

To encourage safe digital engagement, the Sports Ministry will recognize e-sports as a legitimate competitive sport. The bill envisions setting up training academies, research hubs, and incentive programs to accelerate growth in the sector. Similarly, the IT and I&B Ministries will promote online social and educational games that enhance skills, cultural awareness, and digital literacy.

Key Provisions of the Bill

• Ban on Money Games: Complete prohibition on offering, advertising, or facilitating online money games. Banks and digital payment gateways will be prohibited from facilitating such transactions.
• Online Gaming Authority: A national body will classify games, regulate platforms, resolve complaints, and enforce compliance.
• Tough Punishments: Up to 3 years in jail and ₹1 crore fine; repeat offenders risk 5 years and ₹2 crore penalty.
• Corporate Liability: Companies and executives will be held accountable, though independent directors not involved in decision-making are exempted.
• Investigation Powers: Enforcement officers can search, seize, and arrest without warrant in certain cases, under provisions aligned with the Indian Civil Defence Code, 2023.

Positive Impacts Expected

The government believes the bill will boost India’s creative economy, create jobs, and expand gaming exports. It will also empower youth by integrating e-sports into mainstream sports policy, while ensuring a safe digital environment for families. By positioning India as a responsible regulator, the bill also strengthens the nation’s global leadership in digital innovation and policy-making.