Lok Sabha Passes Online Gaming Bill 2025, Banning Real-Money Games Amid Social Concerns
Photo: (Screengrab) Sansad TV via ANI
New Delhi, Aug 20 (TheTrendingPeople.com): The Lok Sabha on Wednesday passed the Promotion and Regulation of Online Gaming Bill, 2025 by a voice vote, marking a landmark step in India’s policy on online gaming. The legislation seeks to ban the offering, facilitation, advertisement, and participation in online money games — targeting platforms such as fantasy sports and card games where users deposit and risk real money.
The Bill has received cross-party support, with the government stressing its national importance in curbing addiction, financial losses, and social harms linked to online real-money gaming.
Speaker and IT Minister Stress National Interest
Lok Sabha Speaker Om Birla urged lawmakers to unite around the Bill, noting the devastating impact online gaming platforms have had on individuals and families.
“This is a good Bill. We are seeing suicides and families getting destroyed every day [due to these platforms] … Bringing such a Bill is in the national interest,” Mr. Birla said during the session.
Union Minister for Electronics and Information Technology, Ashwini Vaishnaw, who moved the Bill in Parliament, emphasized the dangers posed by these platforms.
“Online money games have become a matter of great concern in our society. Many people get addicted, lifetime savings evaporate in games, and with the algorithms in use, there may be untold levels of fraud and cheating,” Mr. Vaishnaw said.
Key Provisions of the Bill
The Promotion and Regulation of Online Gaming Bill, 2025 introduces a comprehensive framework to tackle the proliferation of online money games:
- Complete prohibition on online money games offering monetary returns against deposits.
- Ban on advertisements and promotions related to such games.
- Establishment of a central authority to promote e-sports, which the government is positioning as a safe and creative alternative.
- Recognition of the urgent need for policy intervention due to the sector’s lack of structured regulation.
The Bill highlights the financial, psychological, and public health harms caused by the rapid spread of online money games, particularly among youth and economically vulnerable groups.
Government Explains Urgency and Lack of Consultation
The Bill was not circulated in draft form for public consultation, a move questioned by industry stakeholders. Explaining this decision, Mr. Vaishnaw told reporters:
“It did not make sense to open a prohibition law up for consultation. The government has been engaging with the real money gaming industry for years. There is political unanimity on the problem of online money gaming.”
Union IT Secretary S. Krishnan added that the industry had long been demanding clarity on regulations, and the Bill provides that clarity through a decisive framework.
Industry Reactions and Legal Concerns
While the industry has not yet issued an official statement, experts believe a strong pushback is imminent.
Vidushpat Singhania, managing partner at Krida Legal and a specialist in gaming law, noted:
“If passed in its current form, the Bill is likely to face a constitutional challenge on grounds of trade restriction and legislative competence. The Bill has come as a shock to an industry that has sought central regulation through a dedicated authority.”
In response, Mr. Vaishnaw assured that the Bill had been legally vetted.
“Lawyers involved in the drafting have expressed confidence that it can withstand a court challenge,” he said.
Implications for India’s Online Gaming Sector
The Bill is expected to have sweeping consequences for India’s online real-money gaming industry, which has grown rapidly in recent years with investments from both domestic and international players. Industry estimates suggested the sector could be worth $8–10 billion by 2027, but the new law casts uncertainty over these projections.
While companies involved in fantasy sports, rummy, and poker may face existential challenges, the legislation could open doors for e-sports and recreational gaming, which the government intends to promote as part of India’s creative economy.
The passage of the Online Gaming Bill 2025 reflects the government’s determination to address the social and financial harms caused by real-money gaming platforms. While it marks a decisive regulatory shift, the move also raises questions about trade freedoms, constitutional challenges, and investor confidence in India’s gaming industry.
For now, the spotlight will remain on how the industry responds and whether courts uphold the Bill’s provisions. Simultaneously, the government’s push to promote e-sports could shape the next chapter of India’s digital gaming story.