Breaking headlines in India report that the government has been presented with a Bill to overhaul the rules and definitions of Real Money Games (RMG) and Games of Skill.
Branded as the “Promotion and Regulation of Online Gaming Bill (2025)” the full text of the Bill is yet to be published, but has been referenced by local media quoting ‘close sources’.
The Union Cabinet approved the draft on Tuesday, with sources expecting the legislation to be formally tabled in the Lok Sabha (the lower house of Parliament) on Wednesday.
Coverage has been split sharply between international and domestic media reporting on the Bill’s articles.
International wires, led by Reuters, frame the Bill as a blunt instrument that enforces a “hard prohibition”. The Reuters headlines emphasise India’s intention to “ban online games played with money”, presenting the measure as a direct assault on an industry that has attracted billions in foreign capital.
By contrast, local media outlets lean towards describing the move as a distinct regulatory overhaul. Reports in the Economic Times and Times of India suggest the government’s objective is not simply to outlaw gaming but to redefine what qualifies as Real Money Games. That means banning formats where money is staked, while expressly encouraging esports and non-monetary social gaming.
Commentary in The Hindu and Business Standard adds further nuance, stressing the government’s ambition to formalise a national framework. They note the Bill could eliminate today’s patchwork of state-level laws and conflicting bans, replacing them with a single, uniform code that would bring consistency across India’s fragmented online gaming sector.
Common themes reported in detail that the Bill will recommend a ban on advertising and endorsements of real-money game platforms and further prohibit banks and bar banks and non-banking financial services from processing financial transactions for games and platforms classified as RMG.
A much tougher enforcement is expected, with prescribed penalties of up to three years’ imprisonment and fines of up to ₹1 crore (€110,000) for operators, and up to two years or ₹50 lakh (€55,000) for advertisers.
The Bill is expected to grant centralised powers to federal authorities to restrict and prohibit consumer access to RMG platforms, including the use of direct IP blocking and the authority to terminate internet connections.
The draft is understood to have been prepared by the Ministry of Electronics and Information Technology (MeitY), with Cabinet ministers signalling strong support. The text reflects the recommendations of India’s Tech Council, which has pressed for the Union Cabinet to endorse the Finance Ministry’s move to apply a 40% Goods and Services Tax (GST) on gaming revenues.
The Economic Times warns that a sweeping ban on money games could hollow out India’s RMG sector, driving users offshore and costing the exchequer as much as ₹20,000 crore (€2.2 billion) in annual tax revenues. Industry leaders fear that the measure risks jobs, investment, and innovation, while leaving users vulnerable on unregulated platforms.
News of the federal government’s approach to regulating Real Money and Skill Games has dominated this summer. Amid a series of legal challenges, the Supreme Court announced it would review the legal boundaries of RMG and other formats in consultation with tech giants Google and Apple.
The consultation was prompted by high-profile cases before the Supreme Court concerning the involvement of celebrities, athletes, and Bollywood stars in promoting Real Money and Skill Games – an area where India lacks uniform legislation to define regulatory remits.
For now, the exact text remains unpublished. Observers expect the Lok Sabha to release the Bill upon its introduction on Wednesday. Only then will the contours of India’s gaming regulation prohibition, overhaul, or a mixture of both be fully understood.
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