Religion, politics, fear of China. Why is gambling banned in most Asian countries?

Asia is home to more than half of the world’s population—but when it comes to gambling, the region remains governed largely by restriction, contradiction, and legal grey zones. In many countries, from Indonesia to mainland China, gambling is outright banned. In others, like India and Thailand, the laws are fragmented, outdated, or selectively enforced. Even where some forms are permitted, regulation is often narrow, inconsistent, or state-controlled.

And yet, gambling thrives. Whether through national lotteries, underground betting networks, or offshore online platforms, millions across Asia continue to play and spend money. This isn’t a continent that rejects gambling. It’s one that drives it underground, offshore, or into the hands of the state.

Culture and Religion as the Foundation of Legal Prohibitions

At the heart of Asia’s restrictive stance on gambling lies not just politics, but deeply embedded cultural and religious attitudes. Islam, Buddhism, and Confucianism all view games of chance as either morally wrong, socially destructive, or both.

In Islamic countries like Indonesia, Pakistan, or Malaysia, gambling is considered haram—forbidden by Sharia law. The reasoning is straightforward: gambling is seen as antithetical to hard work and moral discipline, rewarding luck over effort and promoting greed.

In Buddhist-majority nations like Thailand or Myanmar, gambling is discouraged as a source of personal attachment and illusion, two concepts that stand in direct opposition to spiritual development.

Confucian values, still influential in China, Korea and Japan, emphasize social order, harmony and self-restraint. From that perspective, gambling is a disruptive force—one that undermines familial responsibility and financial prudence.

These deeply rooted values shape not only public opinion but also political risk. Legalizing gambling is often portrayed as a betrayal of national identity or cultural heritage. Even when underground gambling thrives, few politicians are willing to publicly defend its regulation.

Gambling Laws From a Different Century

Many Asian countries base their gambling policies on colonial-era or mid-20th century laws that have not kept pace with technological change. In India, the Public Gambling Act dates back to 1867. In Thailand, the key gambling law was enacted in 1935. These laws were written for an era of card rooms and dice games—not global digital platforms accessible via smartphone.

Today, online casinos and offshore sportsbooks operate with little meaningful interference, while local enforcement remains focused on outdated forms of illegal gambling. Blocking websites is ineffective, and domestic players easily bypass restrictions using VPNs and e-wallets.

In much of the region, a regulatory vacuum persists, especially online. While a few countries collect taxes and enforce rules, most jurisdictions lack comprehensive oversight, particularly for digital gambling

Political Reluctance to Legalisation

While gambling laws remain static, the market does not. But in many countries, any attempt to introduce regulation meets intense resistance. The fear of social backlash—rising addiction, corruption, money laundering—is real and politically expensive.

Even in nations where underground gambling causes daily problems for law enforcement, few administrations are willing to propose legalization. It’s a politically charged topic, especially in conservative societies where religious and moral norms carry electoral weight.

Moreover, the current system often benefits local actors—unofficial operators, corrupt officials, and even police forces that extract bribes or protection money from illegal dens. Legalizing gambling would mean transparency, regulation, and taxation—threatening these informal power structures.

Systemic Hypocrisy

Despite official bans, many Asian governments operate state-run lotteries, profiting directly from the very activity they criminalize in other contexts. This double standard is not lost on the public.

China maintains one of the most prohibitive gambling regimes in the world. All private gambling is banned, and authorities aggressively target offshore operators that market to Chinese citizens. Yet the state itself runs two of the largest lotteries on the planet: the Sports Lottery and the Welfare Lottery. Together, they generated over ¥623 billion (approximately $87 billion USD) in 2024 alone. Gambling is illegal in theory, yet fully institutionalised when it suits the state’s fiscal interests.

At the same time, exceptions to this strict stance exist within Chinese territory. In addition to Macau, where casino gambling is legal under a special administrative status, Hong Kong operates its own government-regulated betting system. The Hong Kong Jockey Club holds an exclusive license to offer horse racing, football betting, and lotteries, illustrating the fragmented and highly politicized nature of gambling laws under China’s broader sovereignty.

Thailand offers a similarly conflicted model. For decades, nearly all forms of gambling have been illegal, except for the state lottery, drawn twice a month and deeply rooted in national culture. In 2024, however, the Thai cabinet approved a draft bill to legalise commercial casinos as part of integrated resort complexes. The move reflects not a change in moral philosophy, but a recognition that billions are already being lost to illegal betting and foreign operators.

India, unlike China or Thailand, operates under a federal system in which individual states set their own gambling laws. This has produced a fragmented legal environment. States like Goa and Sikkim permit casinos, Nagaland regulates online skill-based games, while others—including Andhra Pradesh, Tamil Nadu, and Maharashtra—have imposed sweeping bans, particularly targeting online gambling. At the same time, over a dozen states run their own legal lotteries.

In 2023, the central government stepped in for the first time with federal-level regulation. Through amendments to the Information Technology Rules, it introduced a framework requiring online real-money games to be verified by self-regulatory bodies and licensed as “permissible” content. To that, it added a 28% tax on gross gaming revenue—widely criticised as excessive—and a recommendation from the Ministry of Information and Broadcasting to ban all gambling advertising in national media.

What emerges in all three countries is a common structure: a state that bans private gambling on moral or cultural grounds, while exploiting its revenue potential through state-controlled channels.

Exceptions to the Rule: Macau, Philippines, Singapore

Not all of Asia follows the prohibition model. There are high-profile exceptions that demonstrate how regulated gambling can work—though each comes with its own limitations.

Macau is the most obvious case. As a Special Administrative Region of China, it is the only place in the country where casinos are legal. Macau’s gambling revenue once surpassed that of Las Vegas multiple times over, though post-COVID recovery remains uneven. As long as gambling stays within Macau’s borders, Beijing largely turns a blind eye.

The Philippines once operated a dual system in its gambling industry. The state-owned PAGCOR both regulated and operated land-based casinos, while also issuing licenses to offshore operators known as Philippine Offshore Gaming Operators (POGOs), which catered primarily to international customers, especially from China.

However, in July 2024, President Ferdinand Marcos Jr. announced plans to phase out Philippine Offshore Gaming Operators (POGOs), citing their association with criminal activities such as financial scams, money laundering, and human trafficking. The move was formalized through Executive Order No. 74, signed in November 2024, which ordered all POGO operations to cease by December 31, 2024. While the directive signaled a strong government stance, its implementation has faced legal and enforcement ambiguities, with questions remaining over the status of licensed operators and ongoing investigations.

Singapore offers a more cautious approach. Two integrated casino resorts were legalized in 2010, but residents must pay an entrance fee to discourage casual play. The government positions gambling not as a right, but as a heavily monitored commercial activity.

Fear of China

No discussion of gambling in Asia is complete without addressing China’s enormous influence. Though gambling is banned in the mainland, Chinese consumers represent one of the most lucrative gambling markets in the world. That’s why any attempt to serve them—from abroad or through offshore platforms—is considered a direct challenge to Beijing’s authority.

China has cracked down aggressively on junket operators, cross-border advertising, and even payment systems linked to offshore casinos. Major companies have been investigated or dismantled, and executives arrested, for marketing gambling to Chinese players—even when based outside China’s borders.

This creates a climate of extreme caution. For global operators, the risk of entering or even indirectly serving the Chinese market can outweigh the potential reward. A single policy move or enforcement campaign can derail a multimillion-dollar investment.

Asia is not a continent without gambling. It’s a continent where gambling thrives outside of legal frameworks. Players bet, casinos operate, and governments profit through selective enforcement or state-run alternatives. What’s missing is a coherent, modern approach to regulation.

Until that changes, gambling in Asia will remain what it has long been: prohibited, pervasive, and profitable—for everyone but the states that refuse to acknowledge it.