TLDR
- Nepal has raised annual casino royalty fees under its 2026-27 Financial Bill.
- Full casino license fees rose from NPR50 million to NPR55 million per year.
- Mini-casino fees doubled from NPR15 million to NPR30 million per year.
- Operators warn the higher fees could threaten mini-casino businesses and thousands of jobs.
- Industry groups are asking the government to review the new fee structure.
Nepal has raised the yearly royalty fees casino operators must pay to run their businesses. The change came through the Financial Bill for the 2026-27 fiscal year.
The government made the move to raise more state revenue. It affects both full-scale casinos and smaller electronic gambling venues known as mini-casinos.
Under the new rules, a full casino license now costs NPR55 million a year. That is up from NPR50 million, an increase of about $32,800.
Mini-casino fees saw a bigger jump. The yearly fee doubled from NPR15 million to NPR30 million, adding close to $98,400 to their yearly costs.
Rising Costs Add Pressure
Casino operators say the timing is difficult. They point to a list of costs that have already been climbing before this fee hike.
These include higher taxes on alcoholic drinks, rising staff salaries, higher interest rates, and increased electricity bills. Operators say these expenses were already squeezing profit margins.
Some operators say the new royalty rate could make certain electronic gambling operations impossible to run profitably. They worry smaller venues may have to shut down.
Industry representatives argue that closures would hurt more than just casino owners. Fewer venues would mean less royalty income for the government too.
They also note that closures would reduce collections from other taxes tied to the sector. This includes corporate tax, value-added tax, and excise duties.
Jobs and Tourism Tied to Casinos
Mini-casino operators say their industry directly employs between 4,500 and 5,000 people in Nepal. They describe this as a labor force spread across gaming floors nationwide.
The impact goes beyond direct casino jobs. Operators say the industry supports work in hotels, restaurants, transportation, security, food supply, and information technology.
Many of these jobs connect to Nepal’s wider tourism industry. Casinos often operate inside or near hotels that rely on visitor traffic.
Operators say a decline in casino activity could ripple into these connected industries. They argue the fee increase should be looked at with this bigger picture in mind.
In response, industry groups have asked the government to reconsider the new royalty structure. They want a formal discussion process set up.
That process would include casino operators, hotel owners, tourism experts, and labor representatives. Government agencies would also take part in the talks.
For now, no changes have been made. The higher royalty fees remain in effect as part of Nepal’s approved 2026-27 budget.
