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Unregulated Online Gambling on the Rise in Nepal Following India Ban

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Cagla Taskin
Cagla Taskin
Content Manager
Updated:
Reading Time: 3 minutes

Nepal has been witnessing a sharp increase in online gambling activity for the past few months. Social media platforms are flooded with gambling content in the local dialect, despite the national prohibition on remote gambling. Foreign operators seem to be exploiting gaps in Nepal’s remote gambling laws and limited monitoring of digital transactions, fuelling concern among lawmakers and enforcement agencies. The timing seems to have coincided with India’s recent blanket ban on online gambling operations.

Flag of Nepal waving against the sky.

Nepal Witnesses Dramatic Increase in Illegal Online Gambling Activities: Key Insights

  • Despite the ban on gambling, offshore remote betting platforms are targeting Nepali consumers via flashy social media ads, filmed at prominent locations, with promises of massive cash rewards.
  • Gambling in Nepal is limited to brick-and-mortar casinos for foreigners. Nepali citizens are prohibited from participating in all forms of gambling, including at land-based venues and remote casinos.
  • Following India’s ban on online gambling, Nepal has witnessed a sharp increase in remote betting activity. Experts predict that the rise is due to operators and users relocating their activity to Nepal.

Nepali Social Media Platforms Flooded with Gambling Ads

Months after India introduced the Promotion and Regulation of Online Gaming Act, 2025 (PROGA), banning all forms of online gambling nationwide, its Himalayan neighbour, Nepal, is witnessing a sharp increase in illegal gambling activity. A recent report in The Himalayan Times has highlighted the dire situation, prompting authorities to take note.

Offshore gambling platforms are aggressively targeting Nepali users with flashy social media commercials filmed at iconic locations, featuring local influencers, offering cash bonuses and promising huge wins to attract new players. With limited government oversight and enforcement, illegal betting ads have been rampant.

Several of these online gambling sites are promoting deposits and withdrawals in Nepalese Rupees (NPR) and encouraging transactions through domestic banking channels. These platforms are exploiting Nepal’s weak cybersecurity and limited enforcement capabilities, endangering the public.

These companies are relying heavily on popular social media channels, including Meta-owned Instagram and Facebook, which recently introduced restrictions on gambling ads following widespread criticism from reputable global gambling regulators. These ads have also appeared on the controversial Chinese short-video platform TikTok.

Gambling in Nepal is prohibited under Sections (2) and (5) of Article 125 of the National Penal Code. While land-based casinos are located in major cities, including Kathmandu and Pokhara, only foreigners can play there. Nepali citizens are prohibited from participating in all forms of gambling, including at physical venues and online platforms.

Experts Urge the Government to Step Up Regulatory Efforts

The spike in illicit remote gambling in Nepal coincides with the ban in India, prompting experts to investigate the likelihood of operators and users relocating from India to Nepal. Executive Director, Digital Rights Nepal, Santosh Sigdel, noted that simply targeting advertisers is not enough. The government must hold social platforms accountable, as the Philippines recently did, to ensure the safety of Nepali citizens.

Sigdel said:

The government must hold social media platforms accountable, as they earn billions from advertisements promoting prohibited materials, including online gambling.

He cited a Reuters report from November 6 stating that Meta estimates around 10% of its annual earnings, amounting to roughly €14 million, come from advertising illegal products or services, including online gambling, scams and banned goods. He added that Nepal lacks the necessary legislation to restrict gambling ads on social platforms, unlike several European nations, including the Netherlands.

Sigdel noted:

There are no provisions at present to make social media platforms accountable in Nepal.

Senior Superintendent of Police (SSP) Shiva Kumar Shrestha, the spokesperson for Nepal’s Central Investigation Bureau (CIB), echoed Sigdel’s sentiment and added that he has been investigating serious cases related to online gambling and the advertising of prohibited goods and services.

The Nepal police have made several arrests in recent years in cases related to illegal gambling. According to publicly available data, the number of arrests increased from just two in Calendar Year (CY) 2020/21 to 147 in CY 2023/24. SSP Shrestha confirmed that the local police have specialised units that act on individual complaints. However, the government must step up its regulatory efforts to decisively crack down on violators.

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