Your practical guide to starting, scaling, and succeeding in South Asia’s emerging iGaming destination.

Introduction

As regulatory landscapes shift across Asia, Sri Lanka is quickly emerging as a compelling launchpad for iGaming operators looking to tap into South Asia’s rapidly growing market. Positioned strategically between India, the Maldives, and the Middle East, Sri Lanka offers geographical, operational, and regulatory advantages for iGaming businesses ready to scale or enter new markets. This guide walks you through the essentials of launching your iGaming business in Sri Lanka — from business setup and hiring to infrastructure planning and how Kzing can support your expansion at every step.

 

Strategic Location & Regional Shifts Benefiting Sri Lanka

Sri Lanka’s location is more than scenic — it’s strategic. Proximity to India, the Maldives, and Middle Eastern markets places operators within reach of hundreds of millions of potential players.

Key Regional Advantages:

• Direct access to the Indian subcontinent and the Gulf region
• Time zone alignment with major Asian economies
• Affordable flight routes for teams, executives, and partners

Shift in Regional Dynamics:

• Philippines tightening BPO regulations has increased compliance costs and complexity
• iGaming firms are relocating backend teams to Sri Lanka to optimize costs and operations
• Tech-friendly local policies have made Sri Lanka a favorable destination for digital-first businesses

Why Sri Lanka? Strategic Advantages for iGaming Businesses

 

1. Gateway to a Billion-Dollar Player Market

Sri Lanka is not just a gateway — it’s a launchpad into a market with extraordinary potential. South Asia is home to over 1.9 billion people, many of whom are mobile-first, digitally savvy, and under-served in online gaming.

Key Stats & Market Potential:

• India’s gaming market reached $3.1 billion in 2023 and is forecasted to exceed $7.5 billion by 2028
• Pakistan’s gaming industry expected to hit $0.51 billion by 2026
• Sri Lanka’s tourism sector contributes $4.4 billion to GDP — now expanding to integrated resorts and entertainment
• Bangladesh operators report strong user activity, especially during major cricket tournaments. Fantasy sports, slots, and cricket betting are the most in-demand.

 

2. Untapped Local Player Potential

While Sri Lanka is drawing attention as a back-office and operations hub for iGaming, it also presents an emerging domestic player base. With rising digital adoption, a strong tourism sector, and upcoming gaming infrastructure, the country offers operators a first-mover advantage in a largely untapped market.

Key Highlights:

• Digitally engaged, mobile-first population with rising internet usage
• Expanding middle class and growing disposable income
• $4.4B tourism sector to boost gaming exposure
• First Integrated Resort set to open in 2025, boosting visibility and player interest
  Draft legislation underway to establish Sri Lanka’s first national gaming regulatory body

 

3. Time Zone Alignment & Workforce Readiness

For iGaming operators, being in sync with your target markets is critical—especially when it comes to support, live operations, and customer engagement. Sri Lanka’s IST time zone allows seamless coverage for key regions like India, Pakistan, Bangladesh, and the Gulf, enabling operators to deliver real-time responsiveness without additional staffing shifts or time-based delays.

With strong English proficiency and a growing pool of graduates in IT, finance, and communications, Sri Lanka offers a sustainable talent pipeline to support customer service, fraud monitoring, marketing, and more, who are working in the same time zone as most targeted markets in South Asia.

Key Highlights:

• IST time zone ideal for serving South Asia and the Gulf
• Large, English-speaking talent pool
• Skilled workforce in IT, finance, and customer service
• Competitive labor costs vs. Philippines and India

 

4. Business Migration from the Philippines

With new BPO licensing requirements and tax reforms tightening operations in the Philippines, Sri Lanka has become a viable and attractive relocation destination for offshore iGaming support teams. Cities like Colombo and Negombo now host an increasing number of back-office operations previously based in Manila.

Key Highlights:

• Straightforward business incorporation for foreign entities
• Support from relocation specialists familiar with iGaming
• Lower setup and operating costs vs. Manila
• Availability of trained professionals from similar BPO roles

 

Migrating operations to Sri Lanka is logistically simple for businesses already operating in Southeast Asia. The country offers accessible incorporation procedures, experienced relocation consultants, and a growing base of iGaming-savvy professionals. For operators seeking to maintain service continuity with minimal disruption, Sri Lanka delivers cost-effective scalability in a compliant and tech-friendly environment.

 

5. iGaming Events & Industry Recognition

Sri Lanka is rapidly gaining recognition as a key destination in the South Asian iGaming scene, thanks in part to recent high-profile industry events. The SPiCE Sri Lanka conference helped establish early credibility, while the upcoming SiGMA South Asia 2025—set to take place in Colombo—marks the country’s debut on the global stage as a serious gaming hub.

Key Events:

• SPiCE Sri Lanka boosted early industry momentum
• SiGMA South Asia 2025 to host major players from across the region

 

These events bring together major operators, affiliates, software providers, and regulatory experts, creating a powerful platform for networking and visibility. For new operators, such gatherings offer early exposure, partnership opportunities, and validation from the wider iGaming community.

 

Choosing Your Base: Colombo, Negombo, or Special Economic Zones

Sri Lanka offers multiple strategic options for setting up your iGaming operations, each with unique benefits. Whether you prioritize access to top-tier infrastructure, proximity to international travel routes, or tax incentives, the country’s emerging business districts cater to different operational needs. Selecting the right location can streamline setup, attract the right talent, and reduce long-term overhead.

Key Highlights:

• Colombo: Capital city with strong infrastructure, global connectivity, and a skilled talent pool
• Negombo: Ideal for small teams; close to Bandaranaike International Airport and popular with expat professionals
• Special Zones: Areas like Port City and tech parks offer tax breaks, foreign investment incentives, and fintech-friendly frameworks

Image source

 

🟢 Kzing’s local advisors can assist with location scouting and real estate connections

 

Business-Friendly Environment

Sri Lanka’s maturing service economy provides a natural fit for offshore iGaming operations. Competitive costs, strong English proficiency, and a customer-oriented culture make it easy for operators to build and scale local teams. The expanding BPO and IT sectors also support back-office needs ranging from customer service to finance and risk management.

Key Competitiveness:

• English-speaking professionals and Western-style service culture
• Growing BPO and IT sectors create synergy with iGaming support needs
• Local agent and affiliate networks starting to emerge

 

💡 Kzing can connect operators with vetted property agents, staffing vendors, and PSP contacts

 

Finding Office Space in Sri Lanka

Sri Lanka offers flexible and affordable office space solutions for iGaming companies of all sizes. Colombo, in particular, features a growing inventory of commercial properties with options ranging from corporate-grade buildings to co-working and serviced offices tailored for startups.

Serviced offices are ideal for operators looking to start lean with minimal setup, while long-term leases are available for those planning larger-scale operations. Internet quality and IT infrastructure vary, so site visits and due diligence are recommended.

General Outlook:

• Online platforms: LankaPropertyWeb.com, Ikman.lk
• Serviced offices available in Colombo for fast setup
• Furnished/unfurnished units to suit different needs

These methods cover most needs from small offices to larger operational setups.

✅ Kzing’s Office Space Evaluation Checklist (Sri Lanka Edition)

🏢 Property Basics Size (in square feet/meters – how many staff can it accommodate?) Layout (open-plan, private rooms, meeting areas, reception space?) Floor level & accessibility (lift, stairs, wheelchair access?) Furnishing status (unfurnished, partially furnished, fully furnished?) Condition of flooring, walls, ceiling (any renovations or repairs needed?)

📡 Utilities & Connectivity Electricity supply (stable? separate meter? backup lines?) Water availability (tap water pressure, water tank, filtered supply?) Internet provider options (SLT, Dialog, LankaBell, etc.) Typical business internet cost: ~$60–$100/month for 1 Gbps Fiber availability in the area? Backup power options (generator, inverter, solar setup?)

💼 Operational Needs Room for server rack / IT hardware setup Air-conditioning units (working condition?) Lighting (natural daylight + artificial lighting adequate?) Pantry/canteen space (internal or shared with building?) Restroom availability (private or shared?)

🧾 Costs & Lease Terms Monthly rent (in USD or LKR equivalent) Security deposit required (usually 2–3 months) Lease duration (short-term, 6 months, 1 year, renewable?) Who bears utility costs (tenant/landlord/shared?) Average monthly utility bill estimate Internet service cost per month Any additional building service fees or maintenance charges?

🚗 Location, Surroundings & Amenities Parking availability (cars, motorbikes, bicycles?) On-site security or building guard services Proximity to employee housing (boarding houses, apartments) Nearby amenities: eateries, supermarkets, pharmacies Access to gyms, cafes, and banks Accessibility for delivery/logistics vehicles Traffic conditions?

 

Building Your Team in Sri Lanka

With its educated, English-speaking workforce and a growing service sector, Sri Lanka is quickly becoming a talent hotspot for iGaming operators setting up back-office, customer-facing, and compliance roles. The country’s labor market offers a balanced mix of affordability, professionalism, and scalability.

Why Sri Lanka Stands Out for Talent:

• 🎯 Specialized Support Roles
  The country has a strong pool of candidates well-suited for roles in customer service, fraud monitoring, and player retention—with many already experienced in BPO and fintech environments.

• 💼 Accessible Job Platforms
  Talent acquisition is streamlined through platforms like JobStreet.lk, Rooster Jobs, LinkedIn, and local Facebook groups targeting young professionals. This makes it easy to advertise roles and quickly source qualified candidates.

• 🌍 Expat Talent Availability
  For more senior or strategic positions such as compliance managers, CRM strategists, or affiliate program leads, Colombo and Negombo offer access to a small but growing community of expatriates and regional professionals—ideal for leadership hires.

 

🟢 Kzing helps with recruitment referrals, onboarding strategy, and remote/offshore hiring models

Living in Sri Lanka: Expat and Operator Essentials

Sri Lanka offers a high quality of life for iGaming professionals, remote teams, and expat operators—blending affordability, infrastructure, and natural beauty. Whether relocating key team members or building a local team, the country presents strong personal and business advantages.

Lifestyle Benefits for Operators & Teams

• 💸 Affordable Cost of Living
  Compared to hubs like Singapore, Manila, or Mumbai, Sri Lanka offers much lower living expenses. Housing, food, transport, and entertainment are budget-friendly—allowing operators to offer competitive packages at reduced cost.

• 📶 Strong Mobile & Internet Connectivity
  4G and 5G networks are reliable in cities and tourist areas. Mobile plans are affordable (from $5/month), and SIM cards are easy for foreigners to obtain. Fiber internet is widely available in business and residential zones.

• 🌅 Balanced Lifestyle with Natural Beauty
  Enjoy tropical beaches, city convenience, and scenic highlands. Team members can surf in the morning, work in the afternoon, and relax in nature on weekends—a strong draw for digital nomads and long-term expats.

• 🌍 Growing Expat Communities
  Colombo, Negombo, and Galle are home to remote workers, entrepreneurs, and NGO professionals. Co-working spaces, social clubs, and wellness centers support community integration.

• ⚡ Electricity: Generally stable in cities, with occasional outages. Most offices use generators or inverters to ensure smooth operations.

• 💳 Payment Systems: E-wallets like Frimi and Genie are popular. Local banks support online services, and crypto-friendly PSPs are increasingly available.

 

💡 Kzing assists relocating team members with accommodation, transport, and local logistics

Scaling from Sri Lanka to the Region

Sri Lanka can serve as a strategic base to manage operations and expand into larger regional markets. Its proximity to India, Nepal, and Bangladesh makes it ideal for both backend operations and regional experimentation.

 

 

Operational Tips for Scaling:

• Position Sri Lanka as Your Backend Hub
  Leverage the country’s cost efficiency and skilled workforce to manage customer service, risk, marketing ops, and tech development for your South Asia operations—all from a central, English-speaking location.
• Test B2C Campaigns in Neighboring Markets
  Sri Lanka’s proximity and cultural alignment with India, Nepal, and Bangladesh makes it a smart base to soft-launch localized promotions, affiliate deals, or market-entry pilots with minimal risk.
• Recruit Multilingual Teams for Regional Reach
  Build support and marketing teams fluent in Hindi, Tamil, and Bengali to serve diverse markets more effectively. Local and expat talent pools allow for scalable, regionally nuanced communication and retention.

 

🟢 Kzing helps design scalable backend systems and cross-border operations from Sri Lanka

Future-Proofing Your Sri Lanka Operation

Ensuring your iGaming operation thrives long-term in Sri Lanka means building flexibility, resilience, and strong local connections. Consider these three key strategies:

1. Develop Strong Local Partnerships
   Forge relationships with local vendors, payment providers, legal advisors, and marketing affiliates. Local partnerships help you navigate regulatory changes, access market insights, and build a trusted network that supports growth.

2. Implement Scalable Technology Infrastructure
   Choose modular and cloud-ready technology solutions that allow you to quickly add new features or expand capacity as your player base grows or market demands change.

3. Adapt to Regional Market Trends
   Stay agile by continuously monitoring player preferences and regulatory shifts across South Asia. This lets you tailor your offerings and marketing strategies for different countries, maximizing your competitive edge.

 

👉 Explore Kzing Products – Designed for scaling across South and Southeast Asia

Conclusion

Sri Lanka offers a rare mix of affordability, skilled labor, and cross-market access—making it an attractive strategic base for iGaming operators. Whether building a customer support hub, payment operations, or partial front-end operations, you’ll find the environment here favorable for growth.

 

Contact Kzing now for personalised solutions on setting up your operations in Sri Lanka.

 📞 Our sales team on the ground

Derek Cheong 小波
📧 derek.cheong@kzing.com
📱 +63 928 699 8616
📨 Telegram: @KzingSales03

 

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