The Real Cost of Online Gambling in Papua New Guinea

Executive Summary

This 2026 data study examines the full financial landscape of gambling in Papua New Guinea (PNG) — covering online platforms, land-based venues, all game categories, and key demographics. Our analysis draws on regional gambling surveys, national economic reports, NGO research, and comparable Pacific-region studies to produce the most comprehensive estimate of PNG gambling costs to date.

The headline finding is significant: the average adult gambler in Papua New Guinea loses approximately PGK 3,840 per year — equivalent to roughly 19% of the national median wage. For the estimated 3.8% of gamblers who meet clinical criteria for problem gambling, annual losses can exceed PGK 15,000, placing severe financial stress on households and families.

The shift to online gambling has accelerated dramatically since 2022, with offshore digital platforms now accounting for an estimated 58% of total gambling spend — up from approximately 34% in 2020. This growth has outpaced regulatory frameworks, creating significant gaps in consumer protection.

Average Annual Gambling Spend Per PNG Adult

Establishing precise gambling expenditure data in Papua New Guinea is challenging — no national gambling survey exists, and the informal betting sector remains largely untracked. Our estimate is derived from a triangulation of three approaches: (1) national accounts data on gaming industry revenues; (2) self-reported spending in Pacific-region surveys including the New Zealand Health Survey and Fiji Gambling Survey applied with PNG-specific adjustments; and (3) aggregate analysis of available National Gaming Control Board (NGCB) licensing data.

Based on this methodology, we estimate approximately 312,000 Papua New Guinean adults gamble with some regularity (at least once per month), representing roughly 8.4% of the adult population. Total annual market losses — money permanently transferred from consumers to operators — are estimated at PGK 1.195 billion for 2025/26.

Online vs Land-Based Spending

One of the most significant shifts in PNG's gambling landscape over the past four years has been the rapid migration from land-based to online platforms. While physical venues — including licensed gaming machines, casino floors in Port Moresby and Lae, and licensed club gaming — remain substantial, online channels have grown from a secondary option to the dominant mode of gambling by spend.

The primary drivers of this shift include smartphone penetration (estimated at 67% of adults in 2025, up from 38% in 2020), improved mobile data coverage in urban and peri-urban areas, and the proliferation of offshore operators accepting PGK or offering convenient payment methods including mobile money platforms.

The growth of online gambling raises important regulatory concerns. Offshore online operators — typically licensed in jurisdictions such as Malta, Curaçao, or the Isle of Man — are not subject to PNG consumer protections, self-exclusion schemes, or responsible gambling mandates. This means Papua New Guinean players accessing these platforms have fewer safeguards than those using licensed domestic venues.

Spend by Game Type

Pokies (Electronic Gaming Machines)

Electronic gaming machines — known in PNG as pokies — remain the single largest gambling category by revenue, accounting for an estimated 55% of total spend when online and land-based are combined. Physical pokies machines are concentrated in licensed clubs and hotels in Port Moresby, Lae, Kokopo, and Mount Hagen. Online pokies, accessed through offshore platforms, have grown significantly among younger urban players.

The design characteristics of pokies — rapid play cycles, near-miss outcomes, and variable reward schedules — make them the game category most associated with problem gambling. Studies in comparable Pacific markets find that pokies players represent a disproportionate share of treatment-seeking problem gamblers.

Sports Betting

Sports betting — particularly on NRL (National Rugby League) matches — has seen explosive growth in PNG. Rugby league is the national sport, and NRL fixtures attract intense betting interest. Online sports betting platforms have proliferated, offering in-play betting which research identifies as a higher-risk product. Sports betting accounts for an estimated 22% of online gambling spend.

Table Games

Baccarat, blackjack, and roulette at licensed casino venues represent approximately 10% of total spend. Online live dealer table games through offshore casinos are growing but remain a smaller component of total spend. Table game players tend to have higher disposable incomes and lower rates of problem gambling than pokies players.

Lottery

PNG Loto and associated number games remain popular at lower spend levels, particularly among lower-income households. Average annual lottery spend is estimated at PGK 280–420 per participant — relatively modest compared to pokies or sports betting, but culturally significant given the breadth of participation across income groups.

Spend by Demographic

Age Groups

Gambling participation and spend patterns vary significantly by age. Adults aged 25–44 represent the highest spend demographic, driven by greater financial access and digital fluency enabling online gambling. However, the youngest adult cohort (18–24) demonstrates the highest rates of online-only gambling and is increasingly exposed to sports betting advertising through social media channels.

Income Groups

A critical finding of this study is the inverse relationship between income and the relative burden of gambling spend. While higher-income households spend more in absolute terms, lower-income households spend a significantly greater proportion of their income on gambling — creating disproportionate financial harm at the household level.

Regional Distribution

Gambling activity is heavily concentrated in urban centres, with Port Moresby (NCD) accounting for approximately 44% of total gambling spend despite representing only 11% of the national population. This reflects the concentration of licensed venues, higher incomes, and better digital connectivity. However, online gambling is expanding the geographic reach of gambling activity into previously underserved regions.

Cost Comparison: Gambling vs Other Entertainment

To contextualise the cost of gambling, we compared average annual gambling spend against common entertainment expenditures for Papua New Guinean adults. The comparison reveals that even moderate gambling represents a substantially greater financial commitment than most other leisure activities.

Problem Gambling Statistics in PNG

Problem gambling — defined clinically as gambling that creates significant negative consequences across financial, social, psychological, or occupational domains — is a serious public health issue in Papua New Guinea. The absence of a national gambling prevalence survey means we must extrapolate from Pacific-region data and the limited qualitative research available within PNG.

Who Is Most at Risk?

Research consistently identifies the following risk factors for problem gambling in Pacific Island communities, including PNG:

• Young men aged 18–35 — highest overall problem gambling prevalence, particularly through sports betting and online pokies
• Low-income households — higher relative spend and reduced financial resilience to losses
• Urban informal workers — irregular income, access to cash, and proximity to land-based venues
• Individuals with a family history of gambling problems — genetic and environmental risk factors
• People experiencing mental health challenges — depression, anxiety, and substance use disorders are common comorbidities
• Online-only gamblers — reduced social feedback, 24/7 availability, and faster game speeds increase risk

Help-Seeking Behaviour

One of the most concerning findings in problem gambling research globally — and applicable to PNG — is the extremely low rate of help-seeking. An estimated 82% of people with gambling problems never access any formal support service. Common barriers include shame and stigma, lack of awareness of available services, financial barriers to treatment, and limited services outside Port Moresby.

Impact on Families and Households

Gambling harm in PNG extends far beyond the individual gambler. Research on Pacific Island communities identifies significant secondary harm including:

• Food insecurity and reduced household nutrition when gambling spend displaces food budgets
• Disrupted children's education — school fee defaults correlated with parental problem gambling
• Domestic tension and family violence — financial stress and deception are recognised triggers
• Social network harm — borrowing from relatives, community obligations, and wantok system pressures
• Mental health deterioration — depression, anxiety, and in severe cases, suicidal ideation

Economic Impact: Tax Revenue, Employment & Social Costs

Government Revenue

Licensed gambling activities generate taxation revenue for the PNG government through gaming levies, corporate taxes on licensed operators, and licensing fees administered by the National Gaming Control Board. However, the rapid growth of offshore online gambling — which is not subject to domestic taxation — is creating a growing revenue leakage.

The Social Cost Calculation

The estimated PGK 280–420 million in annual social costs from problem gambling represents an important counterbalance to the tax revenue argument often used to justify gambling expansion. This estimate includes:

• Healthcare costs — mental health treatment, substance abuse comorbidities (est. PGK 45–65M)
• Criminal justice costs — fraud, theft, and other financially motivated crimes linked to gambling (est. PGK 30–50M)
• Social welfare costs — government and NGO support for affected families (est. PGK 40–60M)
• Lost workplace productivity — absenteeism, presenteeism, job loss (est. PGK 120–180M)
• Family and community harm — costs borne by individuals not formally tracked (est. PGK 45–65M)

Employment: A Nuanced Picture

The gambling sector provides approximately 4,200 direct jobs in PNG, predominantly in licensed venues, racing operations, and regulatory administration. These are genuine economic contributions. However, employment benefits are concentrated in urban areas and do not offset the geographic spread of gambling harm, which increasingly extends to rural and remote communities through online channels.

Furthermore, "jobs supported by gambling" arguments often ignore opportunity cost — the same consumer spending redirected to other sectors would also generate employment, often in industries with lower social harm profiles.

Interactive Gambling Cost Calculator

Use this tool to see what your current gambling spend costs you annually — and what it could mean for your financial future. This calculator is for information purposes only and is not financial advice.

Frequently Asked Questions

Getting Help: Responsible Gambling Resources

Practical Self-Help Tools

If you're concerned about your own gambling, these practical steps can make a real difference before or alongside professional support:

1. Track your spending. Write down every bet, every time, for two weeks. The total is usually a shock and can be motivating.
2. Set a strict budget. Decide your maximum monthly gambling spend before you start — treat it like a bill, not variable discretionary spending.
3. Use deposit limits. Most online platforms allow you to set daily, weekly, or monthly deposit limits. Set these at account creation — not after a loss.
4. Take breaks. Use platform cool-off features (1 day to several weeks) to reduce compulsive gambling patterns.
5. Block access. Use website blockers (Gamban, BetBlocker) on your devices to remove temptation, especially for online pokies and sports betting.
6. Seek self-exclusion. If you need to stop completely, formal self-exclusion at licensed venues is legally enforceable and free.
7. Talk to someone. Shame and secrecy enable problem gambling to continue. Speaking to a trusted friend, family member, or counsellor is often the turning point.