Sri Lanka to Finalise Gambling Regulator by June 2026
Sri Lanka plans to launch its long-awaited Gambling Regulatory Authority by June next year, as lawmakers push for tighter oversight and taxation of the country’s fast-growing online gaming market. The move comes alongside new fiscal measures and the debut of the nation’s first integrated resort casino.
Regulator Expected by Mid-2026
The plan to complete the formation of the Gambling Regulatory Authority by June 30 next year was recently confirmed to the Committee on Public Finance, according to reports from local media. Parliament had already approved the legislative foundation for the new body in August 2023, passing the Gambling Regulatory Authority Act.
Under the law, the regulator will take on a broad mandate that includes collecting gambling-related taxes, promoting transparency, enforcing good governance, combating illegal operations, and standardising betting and gaming venues across the country.
Shift Toward Online Gaming
A recent survey presented to lawmakers on October 10 showed a clear shift in how Sri Lankans gamble. Only 30 to 40 percent of casino players now visit physical venues, while the majority choose online platforms. Members of the Committee on Public Finance emphasised the need to create a legal and fiscal framework that would enable the government to efficiently tax online gaming activities, a segment that has so far remained largely unregulated.
New Colombo Casino and Higher Levies
The push for a regulatory framework comes as Sri Lanka’s casino landscape continues to evolve. In August, the country launched its first international-standard integrated resort, City of Dreams Sri Lanka, operated by global casino group Melco Resorts & Entertainment Ltd. Located in Colombo, the property signals Sri Lanka’s ambition to attract higher-value tourism and gaming investment.
In parallel, the Cabinet of Ministers has endorsed a 2025 budget proposal to raise the betting and gaming levy from 15 to 18 percent. The proposal also doubles the casino entry fee for Sri Lankan citizens to USD 100, reflecting the government’s broader intent to tighten fiscal controls and boost state revenue from gambling.