Union Minister for Electronics and Information Technology, Ashwini Vaishnaw, held a crucial meeting with key stakeholders from India’s online gaming industry, urging their support for a “smooth and orderly transition” following the recent ban on real-money games. The meeting, which took place on Monday, September 1, 2025, focused on the implementation of the new Promotion and Regulation of Online Gaming Act, 2025 (PROGA).
The IT Minister’s outreach comes after the new law, which received parliamentary approval in August, led to the immediate shutdown of many real-money gaming platforms. During the session, Vaishnaw stressed that the government’s primary objectives are to promote esports and social gaming while ensuring user funds are protected during the transition. “If there is a choice between addressing a problem that impacts society at large and supporting an industry, the government will always address the large societal issue,” he stated, reiterating the government’s stance against the social harm caused by real-money games.
The meeting saw participation from major industry bodies, including the All India Gaming Federation (AIGF), E-Gaming Federation (EGF), E Gamers and Players Welfare Association (EPWA), Esports Federation of India, and the Federation of Indian Fantasy Sports (FIFS), as well as leading operators. Stakeholders raised concerns about compliance ambiguities and the need for clarity, particularly regarding user fund withdrawals from affected platforms. Vaishnaw assured them that the Ministry of Electronics and IT (MeitY) would issue detailed FAQs and guidelines to address these issues and help the industry navigate this phase.
The government’s focus on user protection was a key theme of the discussions. Vaishnaw emphasized that safeguarding players’ money remains a top priority, acknowledging that many users have been unable to withdraw their funds following the ban. This meeting with the gaming industry was a follow-up to a separate high-level discussion the government held with banks and payment firms like Razorpay, PhonePe, Stripe, and leading banks. That session, attended by a Deputy Governor of the Reserve Bank of India (RBI), aimed to establish operational rules for financial institutions to differentiate between legitimate esports, social games, and the now-prohibited real-money games.
While the new law is already facing legal challenges—with one company filing a petition in the Karnataka High Court—Vaishnaw’s meeting signals the government’s firm resolve to enforce the new regulations. He assured stakeholders that the government is open to bringing amendments to the law if necessary, to ensure there is no confusion in promoting the positive segments of the gaming industry. The IT Minister highlighted that the goal is to position India as a global leader in esports while keeping gambling and real-money gaming platforms firmly out of bounds.
Key Highlights:
- Minister’s Outreach: IT Minister Ashwini Vaishnaw met with online gaming industry stakeholders to discuss the implementation of the new law banning real-money games and to seek their support for a “smooth transition.”
- Focus on User Protection: A key priority for the government is ensuring the protection of user funds, with plans to release FAQs and guidelines to help players withdraw their money from affected platforms.
- Promotion of Esports: The new law and the government’s stance aim to promote esports and social gaming, with Vaishnaw assuring the industry that if amendments are needed to clarify the definitions, they will be considered.
- Coordination with Financial Sector: The meeting followed discussions with banks and payment firms to create clear operational rules for financial institutions to distinguish between banned real-money games and permissible gaming transactions.