Government to Notify Online Gaming Act Soon, Says IT Secretary

New Delhi, September 1, 2025 – The government will notify the Promotion and Regulation of Online Gaming Act, 2025 at the earliest, Electronics and IT Secretary S Krishnan has said. Addressing an ICEA event on semiconductors, he asserted that the Act, which was enacted by Parliament on August 21 and has been given Presidential assent, will be operationalised soon once notified officially.

Key Provisions of the Act

The bill introduces sweeping reforms to online gaming in India:

• Online money games ban: Any money-based online game is banned.
• Boost to e-sports: Non-monetary online games, such as e-sports, will be promoted.
• Advertising prohibition: Online money game advertisements are prohibited, and anyone violating these rules will be punished with a sentence of up to two years in prison and/or a fine of up to ₹50 lakh.
• Financial constraints: Banks and financial institutions are prohibited from enabling transactions related to online money games. Failure to comply may result in three years’ imprisonment and a fine of up to ₹1 crore.
• Repeat offenses: More severe punishment for repeat offenses with 3–5 years of imprisonment and a maximum fine of ₹2 crore.

Industry and Banking Response

Last week, the Department of Financial Services and the Ministry of Electronics and IT held discussions with banks and fintech companies, asking for detailed guidelines for implementation and sufficient time to implement systems for tracking financial transactions related to money games. In the meantime, many prominent online gaming companies have voluntarily closed their operations, following the government’s instructions.

Challenges Ahead

While domestic compliance has been rapid, the government has a more difficult job in bringing to book foreign-based gaming and betting websites that continue to operate. The scope of the problem remains huge: an estimated 45 crore Indians lost close to ₹20,000 crore in one year from money-based online gambling. The government is now hurrying to establish regulatory mechanisms in order to enable effective enforcement of the new law.

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