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As India prepares to introduce a bill prohibiting online money gaming, Congress leader Priyank Kharge criticizes the move as a knee-jerk reaction. He warns of potential revenue loss, job threats, and a decline in foreign investment. Kharge advocates for regulation instead of a ban, citing risks to national security and the growth of unregulated offshore platforms.
As India prepares to introduce a bill prohibiting online money gaming, Congress leader Priyank Kharge criticizes the move as a knee-jerk reaction. He warns of potential revenue loss, job threats, and a decline in foreign investment. Kharge advocates for regulation instead of a ban, citing risks to national security and the growth of unregulated offshore platforms.
As the Centre is slated to introduce a bill in the Lok Sabha to prohibit online money gaming today, Congress leader Priyank Kharge termed it as yet another "knee-jerk" move, warning that the move could result in significant loss of tax revenue and threaten thousands of jobs.
In a post on X, Kharge said that the bill could risk billions in foreign investment, while driving users to unregulated offshore platforms rife with money laundering and security threats.
"Knee jerk blanket ban on Online Real Money Gaming without consulting stakeholders or states is another masterstroke by Modi Sarkar in bad policy making. Here's why: Revenue hit: India earns ₹20,000 Cr annually from GST & income tax via online RMG. The ban means states lose this a revenue stream. Jobs & Startups at risk: 2,000+ gaming startups | 2 lakh+ jobs in IT, AI, design. A ban kills India's gaming talent pool & pushes entrepreneurs abroad. Investments dry up: ₹23,000 Cr FDI in last 5 years. Global investors will pull back if India shuts its own digital industry," he wrote.Kharge argued that regulation, not prohibition, is the real solution, but accused the government of rushing into policy mistakes without consulting stakeholders.
"Ecosystem collapse: ₹7,000 Cr spent annually on ads, data centres, sponsorships, cyber security will all be gone overnight. Unintended consequences: Bans don't stop addiction or suicides Instead, they push users to unregulated offshore platforms worth ₹8.2 lakh Cr annually where Government has no control at all. Security risks: Unregulated sites ensures money laundering, terror financing, data theft. Even FATF & Rashtriya Raksha University warn against such risks. Legal mess: The Supreme Court is still deciding whether Centre or States have the power," he said.
The Karnataka Minister argued that a blanket ban will give rise to Illegal markets that might threaten national security. "Why the rush to ban now? The solution isn't prohibition. Probable way forward: - Regulating skill-based platforms - Enforcing IT Rules, 2021 - Whitelisting legitimate operators A well balanced regulation will ensure: - Jobs + Revenue - Safer users - National security - Global innovation A blanket ban will not only lead to revenue loss, but will give rise to Illegal markets that might threaten national security and of course, there will be a huge innovation setback. Regulation is the way forward," he said.
A bill to promote and regulate the online gaming sector, including e-sports, educational games, and social gaming, and to provide for the appointment of an Authority for coordinated policy support, strategic development, and regulatory oversight of the sector, is slated to be introduced in the Lok Sabha today.
The Promotion and Regulation of Online Gaming Bill, 2025, is likely to be introduced by Electronics and Information Technology Minister Ashwini Vaishnaw.
It seeks to prohibit the offering, operation, facilitation, advertisement, promotion and participation in online money games through any computer resource, mobile device or the internet, particularly where such activities operate across State borders or from foreign jurisdiction.
The bill seeks to protect individuals, especially youth and vulnerable populations, from the adverse social, economic, psychological and privacy-related impacts of such games.
It seeks to ensure responsible use of digital technologies and to maintain public order and protect public health.
Source: EconomicTimes
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