Online gaming ban: The state shouldn't act like a nanny

Trust people to take the right decisions instead of over-protecting them from themselves

- RAHUL MATTHAN

Last week, out of the blue, the Government of India brought a ₹2 trillion industry to its knees. Over the course of a few short days, a brand new law against online gambling was placed before both Houses of Parliament, and before anyone had time to react, it was voted on and passed. That law has since received the President's assent. As soon as it comes into force, it will put anyone who either offers or aids and abets the offering of real-money games at risk of imprisonment for up to three years.

The Promotion and Regulation of Online Gaming Act, 2025, defines three categories of games: e-Sports, online money games and online social games. While both e-sports and social games have been permitted, online money games have been unequivocally prohibited. Not only can these games no longer be offered in India, nobody can advertise them or facilitate financial transactions that relate to them.

In the wake of its passage, questions have been raised about the central government's competence to enact such a law, given that under the Constitution, it is the states that have the power to legislate on "betting and gambling." The government, however, seems confident and is prepared to defend the law before the courts should it come to that. Be that as it may, I am not as concerned about whether the government could enact such a law as much as if it should.