Sri Lanka Prepares to Launch New Gambling Regulator

Sri Lanka’s Committee on Public Finance has approved the Social Security Contribution Levy Amendment Bill and the Betting and Gaming Levy Amendment Bill during its session held on 17 November under the chairmanship of Dr Harsha de Silva. The Social Security amendments introduce four updates to the existing 2022 Act, each aimed at modernising the country’s overall revenue collection structure. These changes were examined in detail before receiving approval, enabling the revisions to progress to the next legislative stage.

Significant adjustments were also endorsed within the Betting and Gaming Levy Amendment Bill. The updated measures increase the gross collection levy for bookmakers and gaming operators from 15 percent to 18 percent, while doubling the casino entrance levy for Sri Lankan citizens from US$50 to US$100. These revisions align with the government’s 2025 fiscal objectives and are designed to enhance state revenue contributions from the gaming and entertainment industries. The Committee additionally approved an order extending the validity of the International Telecommunication Operators Levy under the Finance Act.

However, the Committee deferred approval of proposed excise licence fee rules, requesting a deeper analysis before reconsideration. Dr de Silva also issued a public statement warning of urgent regulatory gaps in the online gambling sector, highlighting issues related to youth exposure, lost revenue, and inadequate oversight.

These developments come just as the Gambling Regulatory Authority Act is set to take effect on 1 December. The new regulator will consolidate oversight of all online and offline gaming activities, including casino operations and offshore gaming. The reforms occur at a time when Sri Lanka’s gaming industry is expanding, supported by new investments such as City of Dreams Sri Lanka.