As MGM's "City of Dreams" is set to unveil in August at the Cinnamon Life building in Colombo, the Sri Lankan government is urgently pushing a gambling regulation bill. However, this bill has been severely criticized by the renowned local think tank, Advocata Institute, for lacking independence and being merely a "tool of the Finance Minister".
Researcher Sudaraka Ariyaratna from the think tank pointed out that the bill fails to establish a truly independent regulatory framework, instead granting excessive power to the Finance Minister, making it prone to serving specific political and economic interests. He warned, "Regulation must remain fair and neutral to gain the trust of the industry and investors. Clearly, this draft does not achieve that."
Ariyaratna believes that the government's real motive for rushing the legislation is not to build a sustainable regulatory system but to complete a "compliance package" before the opening of "City of Dreams". However, this path, driven by economic interests and neglecting institutional construction, could damage Sri Lanka's reputation among global gambling investors.
The Sunday Times also criticized that the draft is rudimentary and far from the regulatory systems of mature gambling markets like Singapore. It lacks operational qualification reviews, has not established a systematic anti-addiction mechanism, and is severely lagging in enforcing online gambling laws, appearing more as an economic stimulus tool rather than a real social protection framework.
Ariyaratna calls for the withdrawal of the bill and the formulation of a new regulatory mechanism centered on institutional safeguards, with enforceability and transparency. He emphasized, "We welcome the legalization of the gambling industry, but it must be based on regulation, not political packaging."
Currently, global gambling capital is focusing on whether Sri Lanka can establish a credible institutional environment. If regulation continues to be merely formalistic, Sri Lanka may lose its strategic position in the Asian gambling landscape.
