Nepal introduces reforms for casino sector
New anti-money laundering rules mandate the reporting of high-stakes gamblers and raise capital requirements.
Nepal.- Under a new directive issued by the Department of Tourism, casino operators in Nepal have been subject to new compliance obligations, including transaction monitoring, customer verification, and enhanced due diligence protocols.
The Directive on Anti-Money Laundering and Combating Financing of Terrorism Related to Casino Operators 2025 requires casinos to report anyone who spends NPR 1m (US$7,400) or more in a single day. This includes chip purchases, VIP room expenses and significant cash exchanges. Operators must file the reports with Nepal’s Financial Information Unit within 15 days through the GoAML system.
Casinos are now mandated to establish internal monitoring systems, perform risk assessments, identify politically exposed persons (PEPs), and trace the source of gambling funds. The measures are designed to bring Nepal in line with global anti-money laundering (AML) and counter-terrorism financing (CFT) standards set by the Financial Action Task Force (FATF), to which the country has previously pledged adherence.
The reforms aim to address concerns over the use of casinos near international borders for money laundering given their largely cash-based operations and high volume of foreign gamblers, particularly from India and China. They follow the implementation of Casino Regulation 2080 BS, which raises minimum capital requirements, increases licensing fees and requires a minimum of 20 trained security personnel.
