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Comparing Malaysia’s Gambling Scene to the Rest of Southeast Asia

By Sarah Chen
2 min read
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In this article (8)

Southeast Asia is home to many traditional, conservative countries, meaning their stances toward gambling are a bit sterner than those of most countries in the Western hemisphere. However, this region is far from homogenous. The situation differs from country to country, while online and offshore gambling are a story of their own. 

Still, where does Malaysia fit into all this? Perhaps even more importantly, how does it fare against some of its neighbors regarding the gambling scene?

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The only legal forms of gambling in Malaysia are betting on horse races (since 1961) and playing lotteries (since 1952). Sports betting, however, is illegal (both retail and online).

Now, while online sites are illegal as long as they’re hosted in Malaysia, locals are not prohibited from offshore betting. For instance, a Malaysian can choose some of the apps in this list and legally play one of many typical casino games online or bet on their favourite sporting events. 

The same thing goes for the majority of countries in Southeast Asia, with a few exceptions. For instance, in Singapore, there’s a sort of state monopoly on online betting, while in the Philippines, everything is legal.

Overall, online betting is hard to regulate, so local authorities usually ignore offshore betting, making it a very popular option.  

Casinos

While betting is mostly illegal in Malaysia, casinos are regulated (under some rules that we’ll discuss later). So, it’s home to Genting Resort Malaysia. Sure, it’s just this one casino, but it’s a behemoth with over 3,000 slot machines and over 400 gaming tables. 

In fact, in the whole of South East Asia, there are only three countries that directly ban casinos:

The only legal forms of gambling in Malaysia are betting on horse races (since 1961) and playing lotteries (since 1952).
  • Thailand
  • Indonesia
  • Brunei

Given the royal family’s proclivity for gambling, some find the last part particularly interesting. 

In Laos, casinos are legal in special economic zones only. Still, locals are not accepted. The same thing goes for betting, in general.

Also, remember that Southeast Asia is relatively close to Macau (the Vegas of the East). Needless to say, it’s hard for anyone to deal with such competition in gambling.

Not exactly!

As we’ve already explained, outside of one casino (albeit gigantic) and the national lottery, there’s not much legal gambling in Malaysia.

Tourists who are interested in gambling destinations in Southeast Asia are more likely to visit:

  • Sihanoukville in Cambodia
  • Entertainment City in the Philippines

While it’s hard to pinpoint the exact numbers (due to flawed methodology), it’s widely believed that these two countries have the region’s highest number of gamblers per capita. Now, there’s a reason why this is so hard to determine. Namely, in most countries in Southeast Asia, gambling is illegal for locals either way. So, it’s hard to find someone who openly admits (even anonymously) that they’ve partaken in this activity.

For instance, in Cambodia, while casinos are regulated, all other forms of gambling are illegal. Moreover, betting in these casinos is only legal for visitors, while locals are not accepted.

Most countries in Southeast Asia have similar rules where they regulate casinos but don’t allow locals. In Malaysia, for instance, while casinos are regulated, Muslims are prohibited from participating. In this scenario, the prohibition is based on one’s religion, not regionality. 

Questions & Answers

Q.

What forms of gambling are permitted by law in Malaysia?

A.

In Malaysia, legal gambling is limited to betting on horse races, permitted since 1961, and playing lotteries, which has been legal since 1952. All other forms of sports betting, both retail and online, are considered illegal within the country.

Q.

Are Malaysians allowed to use offshore online betting sites?

A.

Malaysians are not prohibited from engaging in offshore betting, despite online sites hosted within Malaysia being illegal. Local authorities typically overlook offshore betting due to the difficulty in regulating it, making it a popular choice for many.

Q.

Which countries in Southeast Asia have a complete ban on casinos?

A.

Across Southeast Asia, only three countries directly prohibit casinos. These nations are Thailand, Indonesia, and Brunei. Laos allows casinos but only within designated special economic zones, and locals are not permitted to participate.

Q.

Are local Malaysian citizens allowed to gamble in the country's regulated casino?

A.

No, local Malaysian citizens are not all allowed to gamble in the country's regulated casino. While casinos are regulated, Muslims are prohibited from participating, with this restriction being based on their religion rather than their regionality.

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