Parliament members are not happy with the slow action on casino regulations in Sri Lanka.

Key Points

• The Committee on Public Finance (CoPF) declares that the Gambling Regulatory Authority (GRA) Bill does not meet international regulatory standards.
• Both the Finance Ministry and the Attorney General face criticism because of missed timelines for new casino control laws.
• There is worry about the 20-year casino licence given to the new integrated resort, which is a unique approval.

Concerns Over Delayed Gambling Regulation

Sri Lanka’s Committee on Public Finance (CoPF) voiced strong disappointment with the country’s finance authorities after a report by The Island highlighted delays with new gambling rules. CoPF explained that the Gambling Regulatory Authority Bill cannot manage the quick expansion of the casino sector. Officials at the Finance Ministry and the Attorney General’s Department did not finish required tasks before the deadlines.

Dr Harsha de Silva, who heads the committee, shared that the group has many times asked different governments to get advice from countries like Singapore, which have already made gambling rules work. Despite these suggestions, no government followed the advice. Attention to the subject increased because City of Dreams, an integrated resort with a casino, received a 20-year licence, which is the first of its kind for Sri Lanka.

CoPF Criticises Delay in Establishing Gambling Regulator

It should be noted that the licence went through while Ranil Wickremesinghe was president, even though CoPF had previously asked for no new gambling licences unless a proper regulator was built first. The CoPF stated they asked the Finance Ministry to secure money for the new Gambling Regulatory Authority by September 2023, and again in March 2024. These targets both passed without action. The committee is also upset about a review process that lasted 15 months through the Attorney General’s Department and is asking for changes so that such delays do not happen again.

At present, Sri Lankan casinos use the Casino Business (Regulation) Act of 2010 and the Betting and Gaming Levy Act 1988, which are considered outdated. The 2010 law had plans for rules on licences and special gambling zones, but no official regulations for these were ever put out. Key operators, including Bally’s, Bellagio, Casino Marina, and Stardust, have had temporary permits since 2013. There are also no strong tools in place for tracking money flow in the sector, and online casino activities stay outside solid regulatory control.