The country could be just steps away from legalizing casino gambling
Sri Lanka has lifted its long-standing ban on importing casino slot machines, signaling a key step toward a more structured and legalized gambling industry. The move, approved by the Committee on Public Finance (COPF), reflects a shift in the government’s approach to gambling—from restriction to regulation—with an eye on boosting state revenue.
The ban, originally imposed during the country’s economic crisis under the Casino Business Regulation Act No. 17 of 2010, had prevented the import of gaming equipment, particularly slot machines. However, that restriction has now been removed to align with broader financial and regulatory reforms being introduced by the government.
COPF member and former finance minister Ravi Karunanayake said the committee’s approval focused strictly on financial considerations. “The government wanted to explore how this could generate revenue,” he stated. COPF Chairman Dr. Harsha de Silva added that each imported gaming machine would be subject to a tracking system, ensuring better oversight and accountability.
The policy shift comes as Sri Lanka moves closer to passing the Gambling Regulatory Authority Bill, 2025. This proposed legislation, already approved by the Cabinet and published in the government gazette, outlines the creation of a centralized authority to oversee all gambling-related operations in the country.
The new Gambling Regulatory Authority (GRA) would be empowered to license, monitor, and enforce compliance for both land-based and online gambling activities. Its mandate includes enforcing standards, cracking down on illegal gambling, and ensuring responsible gaming practices. The bill also aims to replace the existing Casino Business Regulation Act, marking a significant overhaul of the country’s gambling laws.
By lifting the import ban and introducing a regulatory framework, Sri Lanka is preparing to open its doors more fully to casino operations while establishing controls to manage the sector effectively. This strategy is expected to support economic recovery efforts and offer new streams of public revenue.
