Are the Ministries Gambling with Nepal’s Future?

Posted by: on Oct 8, 2012 | 3 Comments

Nepal’s Tourism Ministry, which had backed allowing Nepalese citizens to enter local casinos sometime back, has taken a summersault and back tracked completely. So much so that the ministry now seeks to put a ban on the entry of Nepalis into casinos, as stated in a draft released by the Ministry of Culture, Tourism and Civil Aviation (MoCTCA).

Why the complete U turn? It was only a few months back when the ministry prepared a draft stating that the Nepalis should be allowed to enter into casinos and play and try their luck. Of course, the draft did suggest the levying of a mandatory entrance fee of Nepalese Rupees 1,000 for the locals to enjoy the casinos in their own country. In fact, Nepali citizens would have separate entrance gates at the casinos. This proposal was heavily criticized by the Ministry of Finance. Even the other ministries were not in favor of the suggestion as they felt that the move could create incongruities in the market.

The new proposal comes after the ministry had already set up a separate committee, led by Joint Secretary Mohan Krishna Sapkota, in June to draft a bylaw that would be sent to the cabinet for endorsement and approval. The committee comprised of renowned representatives from the Ministry of Finance and the Ministry of Law.

Is the Law in Favor of Nepal’s Citizens?

The existing law isn’t very encouraging and limits access to Nepal’s casinos by Nepali citizens. It permits only those with foreign passports to enter the casinos.

To add to the misery, the new proposal suggests the formation of an exclusive monitoring committee that would ensure that no Nepali citizen is allowed to enter the casinos. This committee, if formed, is likely to be headed by the person in command of the tourism industry.

If you thought the discrimination and ordeal stopped here, think again! The latest draft wants casino operators to maintain tight security in their casino complex. The operators need to maintain detailed records of all visitors, besides installing CCTV cameras and preserving the footage for up to six months, which would enable the committee to get their hands on the records whenever necessary.

What About Online Casinos?

There has not been anything specific, however, on the status of electronic gaming, the use of which has gained momentum of late. The earlier draft had proposed that electronic gaming should be permitted in the country. However, the Ministry of Finance has stated otherwise, wanting all outlets catering to the electronic domain to be closed and not receive new licenses. But the Ministry of Culture, Tourism and Civil Aviation officials have not been in support of closing all the outlets that already own a license to function and, as a result, this form of gaming has not found a place in the new draft. Officials at the MoCTCA had themselves issued the licenses to these operators and it would be iniquitous to cancel these licenses or asking them to close down their operations.

Over two hundred and fifty online gaming sites that are outside the Nepalese jurisdiction have opened their doors to the Nepali citizens. As most of these casinos are legal and of some repute, they have succeeded in attracting Nepal’s residents.

What’s in the Wake of the Current Proposal?

The current proposal by the MoCTCA throws light on conflicting interests. It seems that those at the helm of legal affairs in the nation are vehemently against allowing locals to access casinos on their own land. However, access to foreign tourists has been permitted in the light of the revenues that flow in. The government definitely does not wish to forego this.

It is disappointing to see countries like Nepal, and even India, shun casinos and gambling. Isn’t it about time they seek inspiration from Macau, Singapore and Japan? Are we all willing to ignore the many benefits casinos can offer to an economy?

If properly regulated and taxed, just like any other industry, the gaming industry can foster favorable results for the tourism and hospitality industries and obviously the economy as a whole. Can we expect the attitude of those in power to change anytime soon? Can Nepal really afford this kind of uncertainty and instability? Read my next article on Nepal’s economy.


  1. What Lies Between Nepal and Economic Growth?
    October 8, 2012

    […] illegal to allow Nepal’s citizens to enter the eight casinos in the capital city of Kathmandu. Authorities are cracking down on casinos permitting locals to gamble. Rather than investing so much muscle power into curbing the industry, the government should be […]

  2. navaraj
    December 7, 2013

    I totally agree with Rakesh w. that it’s a shame for Nepalese government to not even allow it’s own citizen to enjoy the casinos in their own country. I mean people, just to have fun comes from different countries to Nepal with their families but we Nepalese who are having casinos in our own country are not allowed to even see it. What a fucking shame. I mean why even a talk of fucking fees of 1000 rupees only for Nepalese? There should not be any fees or any restrictions at all. We are Nepali and this is our country. It’s the right of every citizen who are capable of being at the casinos and enjoy to do the same. Who the fuck is whatever ministry to put any restrictions to allow Nepalese who want to be there and enjoy it? If I only had a chance man! a only chance….. then I would have killed all the members of….. members of whatever so called ministry and change every fucking rules in favor of Nepalese citizens and thereby putting some minimal entrance fees to the foreign people if need be.
    Anyway it’s just an anger that I’ve shown for whatever Nepal government has to do with these restrictions made on Nepalese citizens to enter into the casinos…it’s the disrespect that their own citizens are banned from entering into the casinos and have fun while people from different country come just to have the same……

  3. Ken Stephens
    June 3, 2015

    Nepal is not alone in having its own residents restricted to gamble while foreigners are allowed to play freely. A big part of the thinking behind this sees gambling as predatory and governments want the tax and tourist dollars but they want to isolate their own people from this.

    What happens though is this just drives gambling underground and people will gamble regardless, especially in this day and age with easy online access, so all this accomplishes is seeing governments miss out on their cut of this action.

    So they choose to pretend that this sort of approach will prevent their people from gambling, and unless they are willing to look at things pragmatically and sensibly, especially in cases where foreigners are allowed to gamble but their own people aren’t, they will have to be content in seeing all the domestic gambling revenue go overseas as it is now here.


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