India is one of the biggest countries in the world across a number of different metrics, including in regard to the population as a 2021 census found that the Asian country was only second to China with a total of 1,380,721,926 people said to be living within the nation.
Naturally, with that number of people, it is hardly a surprise to see that there are certain activities and passions that are extremely popular with residents, and online gambling is certainly one that has experienced a boom in recent years.
The iGaming industry is thought to be worth around $930 million currently, although that number has been predicted to grow to over $112 billion in 2025. Indeed, with data revealing that over 560 million people have access to the internet and the fact that over 748 million people in India use smartphones, it is perhaps unsurprising that the sector has been able to grow as much as it has and will likely continue to do so in the future.
Complex gambling laws continue to remain in India
However, the gambling industry within India is a little confusing and complex, which has led to calls for the law to be updated and become a little more progressive. One reason that the current laws are complex is simply down to the fact that the country is separated into various different states – 27 to be exact – and that each one has its own laws, whilst there are also country laws that need to be taken into account.
What are the laws?
Currently, there are three laws that the country has imposed throughout the entire nation. These are The Public Gambling Act of 1867, The Prize Competition Act of 1955, and The Information Technology Act of 2000. With each of them having been implemented and signed into law long before the iGaming industry became as big as it has today.
The Public Gambling Act of 1867 is one that is seriously outdated as it outlawed all forms of gambling within India when it was introduced, however many see it as one that provides a loophole because the internet did not exist then, therefore it does not apply.
The Prize Competition Act of 1955 was introduced to restrict any form of prize competition to have a prize pool of over one thousand rupees per month whilst The Information Technology Act of 2000 does not explicitly ban internet gambling and defines it as an illegal activity.
Sikkim is the only state within India that has decided to introduce clear regulations regarding online gambling, with its Sikkim Online Gaming (Regulation) Act of 2008 allowing players to enjoy a crypto casino in India online, although only Sikkim and Goa are the only states that permit gambling establishments.
Some have argued that India’s need to regulate online gambling within the country can have a profound impact on the country’s overall economy. Indeed, with the sector continuing to boom and only likely to continue to experience huge amounts of growth, India could look to raise millions of dollars in tax revenue that could help the country to improve a variety of things, including infrastructure.
Currently, as iGaming is unregulated, the money that is being generated through wagering activities is currently going to offshore gambling operators that provide their services to Indians. Additionally, players from the country will remain unprotected by their country if the industry is not regulated.
Verdict
It is not hard to see the iGaming industry expand and grow in the future, as it would seem to be rather inevitable, however the major issue that India and many of its citizens will likely face is in regard to the current laws that are in place. If India is able to sort these out and update them, the industry could experience a greater level of growth than expected, whilst everyone could benefit too.
Also read | Indian states move to ban online gaming
