The government of Timor-Leste cited threats to security, stability, and reputation as the reason for the ban.
The Government of Timor-Leste has taken decisive action to ban all online gambling and betting operations. They have cancelled existing licenses and halted procedures for new ones.
Authorities justified the measure by citing threats to national security, social order, and economic integrity. The crackdown follows a recent warning from the United Nations Office on Drugs and Crime (UNODC), which reported an increasing presence of criminal groups in the enclave of Oecussi.
Earlier this month, police arrested ten people there for illegal gambling and computer fraud, raising fears that Timor-Leste could become a new hub for fraudulent digital operations.
The UNODC warned that Timor-Leste’s situation mirrors Cambodia, Laos, the Philippines, and Malaysia, where scam centres have grown. Online gambling operations in those countries expanded quickly, fueling fraud and cross-border crime. The report said illicit profits often move through local businesses. It also noted connections to individuals with government ties.
Cross-border criminal activity
Officials warn the risks could intensify when Timor-Leste joins the Association of Southeast Asian Nations (ASEAN) in October 2025. They fear membership may open the door to increased cross-border crime. At the same time, joining ASEAN will deepen regional inclusion and strengthen economic integration with neighboring countries. Timor-Leste first applied for membership in 2011.
Timor-Leste is positioning itself as a new hub for regulated online gambling in Southeast Asia. In 2025, the country entered the international iGaming market by granting its first offshore gaming license to Golden River Universe (GRU), a subsidiary of global operator GDLotto. The decision marks a major milestone in Timor-Leste’s drive to diversify its economy and expand its digital sector.
The government has pledged strict enforcement of the ban to protect Timor-Leste’s international reputation and to block the spread of fraudulent industries within its borders.
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