Online casinos remain largely unregulated in Sri Lanka, though Parliament passed the Gambling Regulatory Authority Bill in August 2025 to establish comprehensive oversight of the gambling sector. The bill consolidates outdated laws including the Horse Racing Betting Ordinance, Gambling Ordinance, and Casino Ordinance into a unified framework (1). Opposition lawmakers have urged the government to implement stronger mechanisms to regulate online gambling amid rising addiction concerns linked to digital platforms (1).
Land-based casinos operate legally under the Casino Business Regulation Act No. 17 of 2010, which requires operators to obtain licenses from the Minister and operate within designated areas. No person may engage in casino business without a valid license, with violations punishable by imprisonment up to five years or fines of five million rupees (2). The newly created Gambling Regulatory Authority will oversee licensing for casinos, collect gambling revenue, combat illegal gambling operations, and implement anti-money laundering measures (1).
"The regulator will ensure that casinos operate according to rules and concerns about money laundering is also addressed."
Sri Lankan residents must pay a $100 entry fee to access casinos, doubled from $50 under the 2025 budget, while taxes on gross gambling revenues increased from 15 percent to 18 percent (1). Existing casinos including Bally's, Bellagio, Casino Marina, and Stardust, operating under provisional registrations since 2013, must now register with the new regulator. The opening of City of Dreams Sri Lanka in 2024 marked the country's first international-standard integrated resort, developed by John Keells Holdings and Melco Resorts as part of the government's post-crisis economic recovery strategy (1).
Source:
https://sigma.world/news/sri-lanka-gambling-regulatory-authority-bill-passed/
https://www.treasury.gov.lk/api/file/84bf64d8-4f4a-47f4-a992-3a44194d4571
Last updated: 13-10-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.
