Sri Lanka’s Cabinet of Ministers has granted approval to continue formulating the draft bill to establish the Gambling Regulatory Authority. The decision follows a request from the Legal Draftsman, seeking concurrence from the current Cabinet to proceed with the legislative process.
Cabinet spokesperson Nalinda Jayatissa confirmed that the approval had been granted, expediting the drafting of the bill. The proposed independent authority will oversee gambling institutions, tax collection, minimise social harm, boost the tourism sector, and drive economic growth.
On 26 June 2023, the then-Cabinet of Ministers approved the establishment of the authority with a broad mandate to regulate the sector.
The Cabinet of Ministers granted approval to the resolution submitted by the President, in his capacity as Minister of Finance, Plan Implementation, and Economic Development, to grant the policy approval for the formulation of the draft bill with immediate effect.
Hike in casino fees and taxes
This comes just days after the Sri Lankan government announced major changes for the gaming industry during its 2025 budget, introducing a series of fiscal measures, including increased levies on casinos. The move is part of efforts to boost revenue and stabilise the nation’s economy following years of financial difficulties, including an international debt default in 2022.
The new budget presented by President Anura Kumara Dissanayake proposed doubling the entrance fee for locals at licensed casinos from $50 to $100 per person. Another key change is a rise in the levy on gross casino collections from 15 percent to 18 percent.
At present, Sri Lanka has six legal casinos—Bally’s, Bellagio, Casino Marina, Stardust, Continental Club, and The Ritz Club. Meanwhile, two more casinos are under development: City of Dreams Sri Lanka and Majestic Pride Casino, a joint venture between Golden Island Hospitality Ltd and India-based Majestic Group Hotels and Casinos, set to open at the Colombo Lotus Tower.
