Online Gaming Bill may risk 2 lakh jobs, hit ₹25,000-cr FDI: AIGF
The Indian government’s proposed ban on real-money and gambling games under the Online Gaming Bill has raised concerns among the industry stakeholders, with the All India Gaming Federation (AIGF) warning of a massive blow to the sector. According to AIGF, the ban will result in the loss of over 2 lakh jobs, hit 400 start-ups, and involve a loss of ₹25,000 crore in foreign direct investment (FDI).
The Online Gaming Bill, which is still in its draft stage, aims to regulate the online gaming industry in India. However, AIGF has expressed its concerns over the bill’s proposal to ban real-money and gambling games, which it claims will have devastating consequences for the industry.
In a letter to Home Minister Amit Shah, AIGF has highlighted the potential risks of the ban, stating that it will not only result in job losses but also impact the country’s economy. The federation has urged the government to reconsider its decision and instead, introduce measures to regulate the industry in a way that protects consumers and ensures the industry’s growth.
AIGF has also warned that the ban will result in a loss of ₹20,000 crore in taxes, which will have a significant impact on the country’s exchequer. The federation has urged the government to adopt a more balanced approach to regulating the industry, one that balances consumer protection with the need to promote innovation and growth.
The online gaming industry in India has grown significantly over the past few years, with many start-ups and established players investing heavily in the sector. According to a recent report, the online gaming industry in India is expected to reach ₹13,000 crore by 2025, with a compound annual growth rate (CAGR) of 22%.
The growth of the industry has been driven by the increasing popularity of online games, as well as the introduction of new technologies such as virtual and augmented reality. Many start-ups have also invested in the development of new games and platforms, which has created a buzz in the industry.
However, the proposed ban on real-money and gambling games is likely to impact the industry’s growth, with many start-ups and established players struggling to stay afloat. The ban is also likely to result in job losses, as many companies will be forced to downsize or shut down operations.
The online gaming industry has also been a significant contributor to the country’s foreign direct investment (FDI), with many international companies investing in the sector. The ban on real-money and gambling games is likely to impact this investment, with many companies reevaluating their investment plans in the country.
In its letter to Home Minister Amit Shah, AIGF has urged the government to reconsider its decision and instead, introduce measures to regulate the industry in a way that protects consumers and ensures the industry’s growth. The federation has also urged the government to engage with industry stakeholders to understand the potential risks and consequences of the ban.
The proposed ban on real-money and gambling games has sparked a debate in the industry, with many experts arguing that the ban will not solve the problem of gambling addiction and may instead, drive the industry underground. Others have argued that the ban will result in job losses and impact the country’s economy.
As the government continues to deliberate on the Online Gaming Bill, it is essential that it takes a balanced approach to regulating the industry. The government must ensure that any regulations introduced are designed to protect consumers and promote innovation and growth, rather than stifling the industry’s potential.
In conclusion, the proposed ban on real-money and gambling games under the Online Gaming Bill has raised concerns among industry stakeholders, with AIGF warning of a massive blow to the sector. The ban is likely to result in job losses, impact the country’s economy, and drive the industry underground. It is essential that the government takes a balanced approach to regulating the industry, one that balances consumer protection with the need to promote innovation and growth.
Source: https://www.financialexpress.com/business/brandwagon-online-money-games-face-ban-3951887/lite/
