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Economic Survey 25-26: How India is tackling online gaming addiction to save its youth

Economic Survey 25-26: How India is tackling online gaming addiction to save its youth

The Economic Survey 2025-26 advocates for a strategic "rebalancing" of youth engagement by combining restrictive safeguards, such as the Online Gaming (Regulation) Act, with robust mental health support to transform digital technology from a source of addiction into a driver of national empowerment.

Business Today Desk
Business Today Desk
  • Noida,
  • Updated Jan 29, 2026 6:05 PM IST
Economic Survey 25-26: How India is tackling online gaming addiction to save its youth Online gaming addiction

The Economic Survey 2025-26 that was tabled on January 29, highlighted a significant issue amongst India's youth; Digital and gaming addiction. As India evolves into a digitally empowered society, the government has recognised that unchecked engagement with online platforms poses a substantial risk to the nation’s youth.

The survey argues that the challenge is not to "demonise technology" but to rebalance youth engagement by combining restrictive safeguards with positive offline opportunities.

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India’s decisive legislative action

Central to India’s strategy is the Online Gaming (Regulation) Act, 2025. This landmark legislation represents a major step in curbing financial harm and compulsive use among the youth. The Act explicitly bans online money games involving wagering to prevent debt and financial ruin. It introduces a strict licensing framework for permissible skill-based games and imposes heavy restrictions on advertising to reduce the lure of addictive platforms.

From the perspective of the Economic Survey, tackling digital addiction is an economic necessity. The Survey warns that digital addiction undermines the cognitive and social development of the next generation, mirroring the physical threats posed by rising obesity and poor nutrition.

India’s response is multifaceted, ranging from the Tele-MANAS 24/7 mental health helpline to the specialised SHUT (Service for Healthy Use of Technology) Clinic at NIMHANS, Bengaluru.

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The ultimate goal is to ensure that digital progress remains a driver of empowerment rather than a source of addiction. By choosing the "enduring good" over "fleeting comfort," India is focusing on building a future-ready, resilient workforce capable of sustaining long-term economic growth.

The survey notes that a major challenge in addressing digital addiction in India is the lack of comprehensive national data on its prevalence and mental health effects, which hinders targeted intervention, resource allocation, and integration of digital wellness into national mental health strategies. 

The upcoming Second National Mental Health Survey (NMHS), led by NIMHANS and commissioned by MoHFW, is expected to generate empirical and actionable insights into the prevalence of mental health issues in the Indian context.

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The Global Health Mandate

India’s proactive stance aligns with global medical consensus. The World Health Organisation (WHO) officially recognised online gaming addiction as a mental health condition under the term ‘Gaming Disorder’ in the ICD-11. This disorder is characterised by impaired control over gaming and the prioritisation of play over essential daily activities despite negative consequences.

China implemented a ‘fatigue system’ enforcing strict limits on online gaming time, restricting minors to just one hour per day on weekends and holidays.

Australia introduced a nationwide ban on social media for children under 16, and South Korea pioneered the ‘Shutdown Law’ (restricting midnight access), though it has since shifted towards parental control models and dedicated recovery centres like the ‘I Will Centres’ in Seoul.

Union Budget 2026 Finance Minister Nirmala Sitharaman is set to present her record 9th Union Budget on February 1, amid rising expectations from taxpayers and fresh global uncertainties. Renewed concerns over potential Trump-era tariff policies and their impact on Indian exports and growth add an external risk factor the Budget will have to navigate.
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Published on: Jan 29, 2026 6:05 PM IST
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