The Indonesian government is preparing to sanction digital payment platforms that have been facilitating online gambling transactions. Minister of Communication and Information Technology Budi Arie Setiadi announced on Saturday that his ministry has issued warning letters to 21 digital payment service providers, covering 42 applications that have been linked to gambling activities.
These warnings come after the ministry found evidence suggesting that these platforms were being used to process payments for illegal gambling. The ministry has instructed the service providers to conduct thorough internal audits of their payment systems and to submit the findings within seven days.
Minister Setiadi stated that failure to comply with this directive would result in administrative penalties, although the specifics of these measures were not disclosed. This move is part of a broader campaign by the Indonesian government to crack down on online gambling, which is illegal in the country.
On June 14, 2024, President Joko Widodo signed a decree establishing a task force specifically dedicated to eradicating online gambling. This task force is part of a larger strategy to combat the economic and social impacts of illegal gambling activities.
In addition to these efforts, the Financial Transaction Reports and Analysis Center (PPATK) reported in June that it had blocked thousands of bank accounts connected to online gambling, freezing assets worth IDR600 trillion ($36.39 billion).
The Indonesian government hopes that by limiting payment options for online gambling, it will be able to reduce the traffic to illegal gambling sites, though challenges remain as black market operators continue to adapt.
Indonesia has seen a significant rise in online gambling, with government statistics indicating that nearly 3 million citizens engaged in such activities over the past year, spending an estimated $20 billion—equivalent to 1.5% of the country’s GDP.
Original article: https://www.yogonet.com/international/noticias/2024/08/13/75135-indonesia-to-impose-sanctions-on-digital-payment-platforms-linked-to-online-gambling
