India is a diverse country, with a rich tapestry of cultures, religions, languages, and legal systems, which results in significant regional variations in various matters, including gambling. Unlike many Western countries, India does not have a uniform national gambling law; instead, each state has the authority to decide on gambling regulations within its own jurisdiction. This has led to a complex and diverse legal landscape for gambling across India.

The Historical Background of Gambling in India
India’s history with gambling dates back thousands of years, especially in traditional games like chess and other luck-based activities. During the colonial era, gambling in India began to be influenced by British rule. The Public Gambling Act of 1867, which was enacted during British colonial rule, considered all forms of gambling illegal unless explicitly allowed by law. However, this law primarily applied to public gambling establishments such as casinos, and some regions of India were exceptions. Over time, as the country’s legal framework evolved, various states began to adjust their own gambling laws to permit certain forms of gambling.State Variations in Gambling Laws
Because India’s legal system grants each state the power to legislate within its own borders, gambling laws vary significantly across different states. As of today, only a few states allow some form of gambling, while most states maintain a prohibition on it.
States Where Gambling is Allowed
- Goa Goa is one of the most famous gambling destinations in India. Since the 1960s, Goa has been one of the most permissive states regarding gambling. The state’s laws allow casinos to operate in designated areas, especially on offshore ships. In addition, Goa permits certain forms of horse racing betting. The state’s relatively relaxed stance on gambling has led to a thriving industry, contributing significantly to the state’s revenue and becoming an integral part of its tourism sector.
- Sikkim Sikkim legalized online gambling in 2010. The state established a regulatory body to oversee and supervise the gambling industry to ensure activities are conducted within a legal framework. Legalizing gambling has been an economic boon for Sikkim, attracting foreign investment and promoting gambling tourism. Sikkim has also hosted high-end gambling events, further boosting the state’s economy.
- Rajasthan Rajasthan began allowing certain forms of gambling in 2016, especially in casinos and horse racing. While the state permits horse racing betting, casinos remain under strict regulation. The gambling industry in Rajasthan is gradually developing, and with the rise in tourism, gambling has become a growing economic sector.
- Maharashtra Maharashtra, home to Mumbai, India’s financial capital, has a complex stance on gambling. While the state does not permit traditional casinos, it does allow certain electronic gambling activities, particularly in horse racing and lotteries. Many residents of Mumbai travel to nearby states like Goa and Rajasthan, where casinos are allowed, to partake in gambling.
States Where Gambling is Prohibited
The majority of Indian states strictly prohibit gambling. According to the Public Gambling Act, unless explicitly allowed by law, all forms of gambling and betting are illegal in most states. Here are some of the states where gambling remains prohibited:
- Delhi Delhi, the capital of India, is an international metropolis, but gambling remains illegal in the city. The Delhi government has a stringent stance on gambling, and illegal gambling activities are frequently raided. Even sports betting is heavily controlled in Delhi.
- Uttar Pradesh Uttar Pradesh, India’s most populous state, also has strict laws against gambling. Aside from limited horse racing betting, all other forms of gambling are illegal. The state’s prohibition reflects concerns over social and moral issues, with a strong influence from religious and cultural traditions.
- Punjab Punjab, another state with strict gambling laws, has some cross-border issues with gambling. However, gambling remains banned, and any illegal gambling activities are considered criminal offenses. The state’s cultural and religious background plays a significant role in this prohibition.
- Haryana Haryana also maintains a strict ban on gambling. While some activities might be allowed with specific legal permission, the general stance is that gambling is prohibited. Like Punjab, Haryana’s cultural conservatism influences its strong opposition to gambling.
Why Some States Allow Gambling?
Economic Benefits
One of the main driving forces behind gambling legalization in certain states is the economic benefits it brings. For many states, gambling is a significant source of revenue, providing funds for infrastructure, public welfare, and tourism development. For example, Goa generates substantial tax revenue from its thriving gambling industry, which helps fund state projects. Sikkim has similarly benefited from online gambling, using the funds to fuel growth and development.
Boosting the Tourism Industry
Gambling has become an essential tool for attracting tourists in some states. Goa, as one of India’s top tourist destinations, has integrated gambling into its tourism offerings. The presence of casinos not only draws domestic visitors but also attracts international tourists. Sikkim, through its online gambling platform, similarly seeks to attract global tourists while enhancing the local tourism sector.
Legal and Social/Cultural Differences
The difference in the approach to gambling in various states is closely linked to cultural and social beliefs. In some regions, particularly those with strong Buddhist or Hindu influences, gambling is seen as immoral or incompatible with religious teachings. These states tend to prohibit gambling to maintain social and moral values. Conversely, in states more open to Western influences, gambling has been legalized and accepted as a form of entertainment and economic activity.
Regulatory Capacity and Industry Control
States that allow gambling often have the necessary regulatory capacity to control and manage the industry. For example, Sikkim has set up a dedicated regulatory authority to oversee online gambling, ensuring that it is conducted in a transparent and fair manner. Such regulatory frameworks allow states to manage the gambling industry while minimizing illegal gambling activities. In contrast, other states may lack the resources to adequately regulate gambling, leading them to impose bans instead.
Conclusion
India’s gambling laws reflect a wide range of regional differences. While some states have legalized gambling to boost their economies and tourism industries, others have maintained strict prohibitions due to cultural, religious, and moral concerns. As the Indian government and individual states gradually refine their gambling regulations, the landscape of gambling in India will continue to evolve. For businesses looking to enter the Indian market, understanding and complying with state-specific gambling laws will be essential to their success.