45 cr people lose Rs 20,000 cr annually: Why India moves to outlaw online gaming

At least 45 crore Indians lose nearly Rs 20,000 crore to online gaming each year, according to government data. The central government moved a bill to ban online money gaming platforms, citing addiction and suicides.

A source told the Times of India that the government thinks online gaming involving money is turning into a “major problem for society,” and hence decided to move with the prohibition to prioritise the public’s well-being.

“There is a rough estimate that 45 crore people lose money every year. Total impact of the loss is estimated to be around Rs 20,000 crore,” the source told the publication.

The draft law of the Promotion and Regulation of Online Gaming Bill, 2025, proposes to prohibit platforms or games where users pay money in exchange for higher monetary returns.

More from India

India to outlaw online money games, govt nod cites suicides, addiction reasons Why India wants to ban online real-money games like fantasy sports, lotteries

The Ministry of Electronics and Information Technology (MeitY) said, “The immersive and addictive nature of online games, particularly with monetary incentives, has led to significant mental health issues among users, especially children, adolescents and young adults.”

Anyone caught offering or enabling online money games may face up to three years in prison, a fine of up to Rs 1 crore, or both. Repeat violations carry stricter mandatory penalties. Promoting or advertising these platforms is also a criminal offence, punishable by up to two years of imprisonment, a fine of up to Rs 50 lakh, or both.

The source added that the bill does not seek to punish those who play the games, as they are the “victims”, but action will be taken against individuals who provide real-money gaming platforms, facilitate transaction services, etc.

Impact Shorts

More Shorts

'New dawn': PM Modi meets Manipur violence victims in first visit since 2023 unrest

CP Radhakrishnan takes oath as Vice President of India

Online gaming spans a wide range, from casual mobile games and educational apps to real-money fantasy sports and poker platforms. Several states have focused on the latter, invoking their constitutional power to regulate gambling and betting.

India currently does not have a federal legislation to regulate online gaming. However, some states have rules of their own, like those of Tamil Nadu, Karnataka and Andhra Pradesh, which have banned online gaming. While states like Sikkim and Nagaland have made it mandatory for operators to register themselves with the government before making their platforms live.