CSRBOX Study Reveals ₹87,000 Crore Revenue Loss to the nation coupled with loss of 56 employable days per user; Rising Mental Health Crisis from Online Real Money Gaming in India
Groundbreaking research, with primary data collection across 17 states uncovers financial, psychological, and social harms as India’s Parliament passes the Promotion and Regulation of Online Gaming Bill 2025.
CSRBOX, India’s leading social impact organization, has released a comprehensive report revealing the severe socio-economic and mental health consequences of Online Real Money Gaming (RMG) among India’s youth. Conducted between May and June 2025, the study surveyed over 5,700 respondents across 17 states, offering the first large-scale, evidence-based insights into how digital gaming platforms are driving alarming financial losses, rising psychological stress, and widespread social disruption.
“Online real-money gaming is no longer just entertainment; it is a public health and economic emergency,” said Mr. Bhomik Shah, Founder & CEO of CSRBOX. “The data show disproportionate harm among vulnerable youth, including rising debt, psychological distress, and disrupted family life. This report is meant to inform evidence-based policy and corporate action so stakeholders can respond proactively and responsibly. We’re encouraged that insights from this study were shared with policymakers during internal deliberations and helped inform the premise of the new Promotion and Regulation of Online Gaming Bill, 2025.”
The study, titled “The Digital Gamble: How Online Real Money Games are Costing India Its Future”, directly supports India’s landmark Promotion and Regulation of Online Gaming Bill, 2025, which was recently passed by Parliament and received presidential assent. The new legislation bans real-money gaming platforms and introduces stricter safeguards to protect vulnerable populations.
Key Findings from the Study
The study uncovers deeply concerning economic, psychological, and social consequences emerging from the rapid rise of online real money gaming in India. The findings reveal an annual revenue loss of ₹87,304 crore caused primarily by illicit gaming platforms, which far outweighs the government’s projected ₹20,557 crore GST earnings from regulated platforms. To put this into perspective, these losses amount to 1.7 times India’s Higher Education budget and 1.2 times the Drinking Water and Sanitation budget for FY 2025-26, underlining the significant economic impact of unregulated gaming activity.
The report also highlights a growing mental health crisis fueled by RMG platforms. Nearly 46% of active users reported experiencing anxiety, depression, or psychological stress. Alarmingly, the study found that each additional weekly gaming session increases mental health risks by 2%, and spending ₹500 per session raises the risk by 10%, showing a direct correlation between gaming intensity and worsening psychological well-being.
Financial vulnerability is another major concern. Among gig workers, average spending reached ₹4,068 per gaming session, yet the average losses were as high as ₹9,609 per game. In extreme cases, 1 in 10 users reported selling personal assets to recover from their gaming losses, indicating how RMG platforms are pushing vulnerable groups into cycles of debt and financial insecurity.
The economic impact goes beyond finances; RMG usage is affecting productivity and quality of life. On average, users lose 56 working days annually due to excessive engagement on gaming platforms. Daily life disruptions are widespread, with players reporting 1.21 hours less family interaction, 1.23 hours reduced study or job time, and 1.41 hours of outdoor activity lost every day. These patterns demonstrate the social isolation and lifestyle deterioration associated with gaming addiction.
The report also flags growing behavioral dependencies, with 72% of users labeling RMG platforms as addictive and 42% self-reporting addiction. Further, 47% experience guilt or regret after playing, highlighting the psychological toll and impaired decision-making resulting from prolonged gaming exposure.
Celebrity endorsements exacerbate the problem. Among users exposed to celebrity-led advertisements, average spending per session was ₹6,272, compared to ₹2,446 for those unexposed. Moreover, 62% of users admitted they would not play games promoted by non-celebrities, underscoring the significant influence of high-profile endorsements and the urgent need for stricter advertising regulations.
Digital safety is another growing concern, with 52% of respondents reporting scam or loan calls after downloading gaming apps and 20% being contacted by offshore accounts. Alarmingly, 41% reported having no access to customer support, leaving users vulnerable to financial exploitation. Concerns of data theft, coupled with investigations by the Enforcement Directorate (ED) and Financial Action Task Force (FATF) have connected these platforms to money laundering and potential terror financing risks, raising concerns at individual and national level.
Future Policy & Program Recommendations
Based on these findings, CSRBOX calls for a comprehensive, multi-stakeholder response involving the government, corporates, NGOs, educators, and mental health networks to mitigate the harms caused by real-money gaming.
The report recommends recognizing gaming disorder and gambling disorder under the Rights of Persons with Disabilities (RPwD) Act, 2016, aligning India’s framework with WHO’s ICD-11 and DSM-5 classifications. This would enable better diagnosis, early intervention, and access to treatment for affected individuals.
There is also an urgent need for stricter parental control mechanisms and penalties for platforms targeting users under 18 years of age through manipulative strategies. Simultaneously, responsible gaming awareness campaigns should be rolled out at a national scale, with a focus on schools, colleges, and digital platforms where young users are most active.
Empowering users with digital and financial literacy is another critical area of intervention, especially as 71% of survey respondents expressed a strong need for such programs. In parallel, CSRBOX recommends scaling free upskilling and vocational training programs, with 77% of users showing urgent interest in skill-building initiatives to secure alternative income sources and reduce dependency on gaming-related earnings.
Finally, the study stresses the importance of accessible mental health and addiction recovery services, noting that 49% of users report requiring professional help. Establishing dedicated counseling centers, helplines, and community-led support networks will be vital to addressing the psychological and behavioral harm caused by RMG platforms.
CSRBOX’s Role in Shaping Policy
Grounded in extensive field research and primary data collection across 17 states, the CSRBOX report has already served as a critical knowledge resource informing India’s regulatory response to online gaming. While the Promotion and Regulation of Online Gaming Bill, 2025 is a significant milestone, the study emphasizes the urgent need for nationwide prevention, awareness, and rehabilitation programs to protect India’s youth, families, and workforce.
Why This Matters
With 45% of Indians aged 12-34 actively engaged in RMG platforms, India is at a crossroads between digital opportunity and digital harm. Left unaddressed, the issues of financial vulnerability, mental health decline, and systemic social disruption risk undermining India’s demographic dividend. CSRBOX’s findings call for immediate, coordinated action to secure the well-being of the country’s youth and digital economy.