The country could following several others considering legalized casinos in the region
Indonesia is starting to attract attention in Southeast Asia’s casino conversation, following a new proposal that could change how the country approaches gambling laws. A recent public discussion in West Java sparked debate after an academic suggested that the country consider legalizing casinos—but only for foreign nationals and only in designated special economic zones like Batam or Bali.
Vidya Ramadhan, a professor from STIE Ekuitas, argued that Indonesia could benefit economically by allowing such limited casino operations. He pointed to examples like the United Arab Emirates and Malaysia, where gambling activities are tightly regulated and restricted in ways that minimize social impact. Ramadhan emphasized that any implementation would need to ensure revenue transparency and avoid putting pressure on the local population’s spending habits.
The idea isn’t without support. International law experts and members of Indonesia’s parliament have begun to question whether the country should continue to hold back on this type of development, especially when countries with strict religious norms like the UAE have moved ahead with their own casino initiatives. Galih Kartasasmita, a member of parliament, even questioned why Indonesia has not explored this route, citing the UAE’s approval of a resort casino on Al Marjan Island.
At the same time, Indonesia is dealing with serious issues tied to illegal gambling. In 2024, authorities froze more than 28,000 bank accounts tied to suspected online gambling rings. These accounts were reportedly being used for activities that included fraud and drug-related money laundering, highlighting the risks of an unregulated gambling environment.
Calls for a controlled and limited casino framework reflect a broader push to manage these risks while tapping into potential tourism and investment growth. Whether or not Indonesia acts on this proposal, it’s clear the country is now part of a growing conversation in the region about the role of regulated gambling in economic development.