Colombo | April 21, 2025 — Sri Lanka is taking a decisive step toward a formal gambling regulatory framework as the Cabinet has approved the publication of the draft Gambling Sports Regularisation Act in the Government Gazette. Cleared by the Attorney General, the proposed legislation is now poised for Parliamentary debate and final approval, signaling the government’s commitment to tightening oversight and structuring the country’s gambling sector.
The draft law proposes the establishment of a Gambling Regulation Authority, a new independent body that will oversee all aspects of the industry, including licensing, supervision, and enforcement. This centralized authority would be responsible for regulating traditional land-based casinos, offshore gaming vessels, integrated resort casinos within the Colombo Port City special economic zone, as well as online gambling platforms accessible to Sri Lankan residents.
According to the draft provisions, the Authority will be empowered to issue and renew operator licenses, set and monitor technical and operational standards, enforce anti-money laundering (AML) and know-your-customer (KYC) protocols, and implement responsible gambling initiatives such as self-exclusion registers and wagering limits. It would also conduct inspections, issue sanctions, suspend or revoke licenses, and hear appeals on regulatory decisions.
The initiative follows a Cabinet decision made in February 2025 to formulate new measures that address the increasing prevalence of both onshore and offshore — particularly digital — gambling activity in the country. The move is also a key component of President Ranil Wickremesinghe’s broader economic reform strategy, pursued in his role as Minister of Finance, Planning, and Economic Development, aiming to align gambling operations under a unified, transparent legal regime.
Once enacted, the Gambling Sports Regularisation Act will replace or amend outdated statutes and provide a consistent regulatory pathway for both local and international operators seeking to engage with Sri Lankan consumers in the gambling space.