Posted: June 10, 2022, 5:20 a.m.
Last update: June 10, 2022, 9:31 a.m.
India has apparently realized that it is losing a potential revenue stream by continuing to block online gambling. As a result, he formed a government panel to look at different angles from which to approach legalization.
India is making progress towards legalizing gambling. A seven-member team, including ministers of state, has been tasked with finding a nodal ministry that will guide the industry. The team’s responsibilities include developing regulatory mechanisms that protect players and create a transparent and well-founded industry.
This panel will examine the legal and legislative frameworks currently used by regulators around the world. The information and analysis will help create policies to help overcome anti-gambling sentiment in certain areas of the country.
Curbing Black Market Gambling
In addition, the government hopes that legalized gambling will reduce the presence of underground gambling. There have been more raids on illegal gambling in various states in recent weeks, and authorities have carried out a number of operations to stop illegal betting on cricket matches.
The Fantasy Sports Federation of India (FIFS) welcomed the news, according to the outlet. Life in Kashmir. He said this is a big step that shows the government recognizes the role that the online gambling industry plays in India. He added: “The task force is an important step in creating regulatory certainty for the nascent and rapidly growing online gaming industry.”
Except for the Supreme Court precedent on skill-based gambling, there has been no federal law governing the gambling industry in India. Each state takes its own position on the matter. The All India Game Federation (AIGF) campaigned in March for all states to take a proactive approach to developing a strong policy framework for online gambling.
This was a month after the end of the Karnataka state government’s futile initiative last September to ban gambling of all kinds. Lawmakers implemented the ban, but the Karnataka High Court overturned the measure.
Kerala also attacked online gambling last year. He tried to block online rummy, defining it as a game of chance. However, the Kerala High Court overturned the ban, ruling that the card game is a skill-based game. The same scenario also unfolded in Madras state in August.
embrace the future
Authorities began considering the possibility of creating online gambling regulations in April as more states realized the revenue potential. As a result, the government is now looking to create a new regulator to guide the sector.
The Online Gaming Regulation Act (OGRA) establishes a central regulator for online gaming, the Online Gaming Commission. It would have the power to monitor the activities of online gambling operators and punish those who do not comply with the law.
It would also be able to issue, suspend or revoke online gambling licenses. In addition, this committee would also be able to establish licensing rules, especially regarding who is allowed to play.
However, there are those who still want to block online gambling. Anbumani Ramadoss, chairman of the Pattali Makkal Katchi (Workers’ Party), today criticized India’s ruling party for pushing the legislation forward. However, it seems that the ball is already in motion.
Online gambling on the rise
Ernst & Young and the Federation of Indian Chambers of Commerce and Industry published a report on Indian online gambling three months ago. They found a 17% increase in the number of paying customers in the segment, from 80 million in 2020 to 95 million in 2021.
The number of online game users increased by 8% during the period, from 360 million to 390 million. This figure will rise to 450 million by next year, according to the report.
Additionally, the Indian online gaming market grew by 28% during the period. In 2020, it was worth 79 billion rupees ($1.01 billion), but reached 101 billion rupees ($1.29 billion) the following year.
There is no concrete timeline for OGRA’s efforts to come to a conclusion. However, the regulations could be in place before the end of the year.