Growth of Online Gambling in Malaysia

online gambling

The online gambling industry continues to grow worldwide. In fact, the projected growth is from US$64.13 billion in 2021 to more than US$72 billion in 2022. Malaysia is no exception to the rise of Internet-based gambling. Despite national restrictions on online gambling, Malaysians’ interest in online casinos continues to grow.

Gambling Law in Malaysia

Malaysia, a predominantly Muslim nation, prohibits almost all forms of offline and online gambling. There are three major laws that affect gambling in the country.

Sharia Law

Sixty percent of Malaysia’s population is Malay, whose compulsory religion is Islam, according to the Malaysian constitution. Islamic law, known as Sharia or Syaria, prohibits gambling, so most Malaysians cannot engage in this activity.

However, people living in Malaysia who are not Malays, such as Indians and ethnic Chinese, are not restricted by Sharia law. They represent 37% of Malaysia’s population and are the ones who engage more in gambling and spend more.

Betting Act of 1953

All types and methods of gambling are essentially prohibited by the Betting Act of 1953, especially bookmakers and sports betting. Betting operators and patrons, if caught, can face five years in prison and a fine of up to MYR 200,000.

On the positive side, the state does not usually focus on individual gamblers. Instead, the government tends to focus on betting homeowners or operators.

Common Gaming Houses Act of 1953.

This act makes it a criminal offense to operate or even be found in a gambling establishment. Those caught breaking this law can be imprisoned for up to six months and fined up to MYR 5,000.

The law pretty much defines a playhouse as a place where people have the opportunity to gather and play. And while it doesn’t explicitly say so, gambling sites could also be considered gambling houses.

Online gambling in Malaysia

Despite Malaysia’s gambling restrictions, online gambling is on an upward trend. Betting on the English Premier League and other soccer events and sports like badminton is a popular activity.

Technological advancements are playing an important role in making online gambling in Malaysia not only more accessible, but also more affordable – especially for younger people. As in many other countries, players are increasingly using mobile technologies to participate in online gaming.

There are also plenty of online casinos based outside of Malaysia that welcome players who live in Malaysia. These sites not only offer a wide range of games, but also attract Malaysian players as they are available in Bahasa Melayu, so players can enjoy gambling and communication in their local language. Moreover, some of them also include the Malaysian Ringgit on the list of accepted currencies.

Bricks and Mortar Casinos or Offline Gambling in Malaysia.

Gambling is not 100% prohibited in Malaysia. There is a huge casino resort on a mountain top called Resorts World Genting. Also known as Casino de Genting, it is one of the largest casinos in the world and has thousands of slot machines and hundreds of gaming tables.

Malaysia also has three racetracks dating back to the late 19th century: Selangor Turf Club, Perak Turf Club and Selangor Turf Club. Betting on horse races at these clubs or at off-track betting facilities is permitted.