On November 5, 2025, Indonesian President Prabowo Subianto addressed the Asia Pacific Economic Cooperation (APEC) summit, emphasizing the significant threat illegal online gambling poses to Indonesia’s economic and social stability. Speaking to a gathering that included influential leaders such as Chinese President Xi Jinping and South Korean President Lee Jae Myung, Prabowo highlighted a concerning statistic: Indonesia loses approximately $8 billion (IDR133 trillion) annually due to financial outflows from online gambling.
Prabowo called upon APEC member states to unite in combating illegal online gambling alongside other transnational crimes such as smuggling, corruption, and narcotics trafficking. This year’s summit, hosted in Gyeongju, South Korea, focused on the theme “Building a Sustainable Tomorrow.” The president’s call for joint action resonated against the backdrop of these discussions, stressing the need for collaborative efforts to address these critical issues.
The threats posed by online gambling extend beyond the financial domain, Prabowo noted, pointing to its potential to destabilize social structures. He advocated for “global solidarity” to enhance digital security measures, thereby preventing cybercrimes and safeguarding sensitive data from theft. He further outlined Indonesia’s commitment to participating in APEC’s technological advancements, with an eye toward bolstering small and medium enterprises (SMEs) and enhancing healthcare systems to leverage the nation’s demographic advantages.
In recent months, Indonesia has intensified its crackdown on illegal online gambling activities, which remain outlawed in the country. In August, the Financial Services Authority (OJK) directed financial institutions to block nearly 26,000 accounts associated with these activities. The OJK also mandated that banks perform enhanced due diligence, cross-referencing potential offenders against Indonesia’s national ID database to prevent unlawful transactions.
Despite these efforts, challenges persist. Yusril Ihza Mahendra, Indonesia’s Minister for Legal, Human Rights, Immigration and Corrections Affairs, acknowledged the shortcomings in current prevention and eradication efforts. “The prevention and eradication of online gambling is still not optimal,” he remarked at a Jakarta event focused on strengthening the Anti-Money Laundering Committee. He advocated for targeting financial institutions rather than users and platforms as a more effective strategy for disrupting the financial underpinnings of online gambling operations. By tracing and freezing illicit funds, the government could significantly hinder the expansion of such enterprises.
Moreover, Yusril called on religious leaders to engage in public education. “For the last five years, I have never heard any sermon about online gambling,” he observed, suggesting that preachers incorporate discussions of contemporary issues into their teachings to raise awareness of the real-world impacts faced by the community.
Globally, the scope and impact of digital gambling have drawn the attention of researchers and policymakers alike. A study by the Lancet Public Health Commission on Gambling highlighted the unique capabilities digital platforms offer for gambling. Louisa Degenhardt, a professor at the University of New South Wales, commented on the changing landscape, noting that gambling now transcends traditional settings. “We’re not talking about people playing a game with cards around the table anymore,” she told CNBC. With an estimated 72 million people worldwide experiencing gambling-related harm, there is a growing concern that commercial entities are increasingly targeting individuals to encourage more gambling, potentially exacerbating the issue.
A 2024 United Nations report further underscored Southeast Asia’s role as a hub for cybercrime, illegal online gambling, and so-called “scam farms.” The region’s prominence in these illicit activities reflects what the report described as the growing “professionalisation and innovation” of illegal enterprises. Transnational criminal organizations within Southeast Asia have emerged as leaders on the global stage, capitalizing on the lucrative opportunities presented by digital platforms.
While the threats posed by illegal online gambling are clear, there exists a counterpoint regarding the potential benefits of a regulated online gambling market. Proponents of regulation argue that by legalizing and overseeing online gambling, countries could mitigate the risks associated with the underground market, such as fraud and crime, while harnessing tax revenues to support economic development and fund public services. However, this perspective remains controversial, particularly in regions where cultural and religious factors strongly oppose gambling.
As the global community grapples with these complex issues, the discussions at APEC highlight the critical need for cooperative strategies and innovative solutions to address the multifaceted challenges posed by illegal online gambling. By fostering international collaboration and leveraging technological advancements, nations can work towards securing a stable and prosperous future free from the destabilizing influences of illicit activities.
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