The Committee on Public Finance (CoPF) of Sri Lanka has approved the importation of casino machines, with officials citing the move as a revenue-generating measure for the government through tax collection.
The decision comes as Sri Lanka seeks to boost economic recovery following recent financial difficulties.
According to the local media outlet Daily Mirror, CoPF member Ravi Karunanayake said the government sought approval after examining the revenue potential. He emphasized that the committee focused solely on financial assessment rather than evaluating potential harmful effects of gambling, stating that their approval was based on casinos’ ability to help the government earn revenue.
The approval lifts import restrictions that were previously imposed during the country’s economic crisis. The imported equipment will be designated for currently registered tourism promotion institutions and tourist facilities.
In a separate report, CoPF Chairman Harsha de Silva announced that a special monitoring mechanism would be established to oversee the importation process. He explained that the government requested removal of import restrictions imposed during the crisis. Recognizing that casino equipment was included in that list, he directed the creation of monitoring procedures for every imported casino machine.
The casino industry in Sri Lanka operates under multiple regulatory frameworks, including the Betting and Gaming Levy Act No. 40 of 1988 and the Casino Business Regulation Act No. 17 of 2010. However, implementation of relevant regulations remains incomplete.
Building on this existing framework, the government introduced the “Gambling Regulatory Authority Act” earlier this year to establish comprehensive oversight of all gambling activities, including physical and online casinos. The legislation aims to implement Anti-Money Laundering (AML) and Know Your Customer (KYC) provisions while promoting responsible gambling practices.
Despite the regulatory framework, Silva expressed concerns about operational oversight, warning that the government may legislate junket operations—high-stakes gambling tours typically organized for wealthy players—without adequate monitoring regulations. He also highlighted issues with online casinos operating without regulation or taxation, citing Singapore’s dual-law approach as a model for effective casino regulation.
