The Taiwan Cabinet has cleared a draft bill that requires casino operators in outlying islands to ban under-age players, people with gambling addiction and people employed in or involved with regulatory betting agencies.

The legislation is in accordance with the Offshore Islands Development Act that allowed the construction of a casino in the Matsu islands.

The government is required to draft the legislation by the Act, under which a referendum to allow a casino to be built in the outlying island chain of Matsu was held in July last year. The referendum passed, with 56 per cent of Matsu voters in favour and 42 per cent opposed.