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Cash-strapped Himachal turns to lotteries for revenue

By, Shimla
Published on: Aug 01, 2025 08:38 AM IST

The move aims at increasing the state’s revenue amid declining central allocations and the withdrawal of GST compensation

Cash-strapped Himachal turned to revival of the state-run lotteries to boost revenue. The state cabinet on Thursday gave its nod to initiate the operation of lotteries in the state that has been banned since 1999.

Lottery was banned in the state by the Himachal government headed by BJP leader Prem Kumar Dhumal in 1999 and made its violation punishable under Lotteries (Regulation) Act. (File)

The move aims at increasing the state’s revenue amid declining central allocations and the withdrawal of GST compensation. The debt burden of the state government has already crossed 1 lakh crore and the state government is looking for measures to generate revenue.

Lottery was banned in the state by the Himachal government headed by BJP leader Prem Kumar Dhumal in 1999 and made its violation punishable under Lotteries (Regulation) Act.

Industry minister Harshwardhan Chauhan said the government expects to generate an additional income of 50 to 100 crore annually through the lottery system. Chauhan said that Punjab earned 235 crore and Kerala a staggering 13,582 crore from lotteries in the last financial year alone.

“There is no countrywide ban on lotteries. Currently, 13 Indian states, including Kerala, Goa, Maharashtra, Punjab, and Sikkim run legal lotteries. Himachal too will benefit if the scheme is regulated properly,” Chauhan said after the cabinet meeting.

“In the name of a self-reliant Himachal, the government is giving legal recognition to cannabis cultivation. It is allowing liquor sales wherever it pleases while shutting down schools and colleges. And now, going even further, it has legalized the lottery—so the government can even wipe out people’s savings. This policy is not in the interest of the state, and the Bharatiya Janata Party strongly condemns it.”

 
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