PPATK: The Economic Impact of Online Gambling in Indonesia

Independent Report – The Financial Transaction Reports and Analysis Center PPATK. It has revealed that the circulation of money in online gambling in Indonesia has reached an astonishing IDR 1,200 trillion. This figure has raised concerns about the negative impact of online gambling on the national economy. Politician from the Prosperous Justice Party (PKS), Sukamta, voiced his concerns. Stating that such high levels of gambling activity could harm the real economic growth of the nation.

Sukamta pointed out that as the revenue from online gambling increases, so does the number of people involved in it. He emphasized that this trend could have a direct effect on the cash flow in the real economy. Particularly because many of the consumers are from lower-income groups, including housewives and small businesses. He argued that instead of spending money on essential goods, such as food for their families, people are choosing to spend on online gambling. Which is essentially a form of deception, not a legitimate lottery.

PPATK Reveals Alarming Figures for Online Gambling in 2025

He further explained that if this trend continues, the purchasing power of the lower-income population will continue to decline. This, in turn, will lead to many small and micro-business owners losing their income or even going bankrupt. Sukamta warned that the widespread practice of online gambling could undermine the economy’s performance. And also interfere with President Prabowo’s goals to strengthen the nation’s economy, particularly for ordinary citizens. Sukamta called for more serious government intervention to address this issue.

In relation to legal matters, Sukamta acknowledged that existing digital laws in Indonesia are fairly strong. However, he stressed the need for adjustments to subsidiary regulations and the enforcement of stricter measures. For instance, he suggested that Government Regulation (PP) Number 71 of 2019 should be aligned with the revised Information. And also Electronic Transactions Law (UU ITE) to remain relevant to the evolving digital crime landscape. Sukamta also highlighted the importance of making the government’s efforts to block gambling websites more effective.

In addition, Sukamta called for diplomatic and legal approaches with international governments to combat the prevalence of online gambling in Indonesia. He pointed out that many of the operators behind online gambling are based in other ASEAN countries. Which requires Indonesia to take a more comprehensive approach beyond simply blocking websites.

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Call for Stronger Government Action and Policy Reforms

The PPATK’s data underscores the alarming scale of online gambling in Indonesia, with the value of transactions for 2025 expected to hit IDR 1,200 trillion, a sharp increase from IDR 981 trillion in the previous year. PPATK head Ivan Yustiavandana shared this information during the commemoration of the 23rd National Anti-Money Laundering and Terrorism Financing Prevention Movement. He noted that the continued rise of online gambling poses a challenge not only in terms of its financial impact but also in relation to crimes such as money laundering, terrorism financing, and the proliferation of weapons of mass destruction.

According to Ivan, the growth of online gambling is part of a broader trend in criminal activities that now often take advantage of new technologies, such as cryptocurrency and other online platforms. The National Risk Assessment (NRA) on Money Laundering (TPPU) identified corruption as the largest contributor to illicit financial activities, with an estimated value of IDR 984 trillion in fraudulent transactions. Online gambling was listed as the third-largest contributor to illegal transactions, with a total value of IDR 68 trillion.

Continued Efforts Needed to Combat Financial Crimes in the Digital Age

Ivan emphasized that while the past 23 years have been a period of significant progress in combating money laundering and terrorism financing, much work remains to be done. He called for continued efforts to adapt to the evolving criminal landscape. Especially as the digital world provides new avenues for illicit activities. The overall goal is to implement a more effective regime for preventing money laundering, terrorism financing. And also other forms of financial crime.

In conclusion, the rapid expansion of online gambling in Indonesia has become a major concern for both the economy and the integrity of the nation’s financial system. As the government works to tackle this issue, it will require a combination of legal reforms, stronger enforcement measures, and international cooperation to mitigate the impact of this growing problem on the country’s economic health.

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