Touted as Macau’s threat, Thailand approves draft bill to legalize casinos

Thailand’s Cabinet approved a draft bill yesterday to legalize casinos with the aim of boosting tourism and addressing a sluggish economy.

Currently, some forms of gambling, such as betting on boxing and horse racing, are permitted, but casinos remain illegal in the Southeast Asian country.

Prime Minister Paetongtarn Shinawatra told reporters following the Cabinet meeting that the bill would also attract investments and address issues related to illegal gambling.
“It will benefit society as a whole in the future,” Paetongtarn said, according to the Associated Press.

“This is part of the government’s policy to support sustainable tourism or man-made destinations, which was addressed in Parliament.”

Gaming analysts have described Thailand as Macau’s most significant emerging competitor. With plans for new gaming legislation expected by May, Thailand is poised to introduce multiple licenses for casinos.

According to gaming expert Ben Lee, Thailand’s favorable gaming tax structure could enable casinos to offer substantial comps and incentives to gamblers.
“If we look at what gaming did to Singapore, they put Singapore on the map. Gaming would basically propel Thailand into a gaming powerhouse in this region, without a doubt,” Lee said during a talk held last month.

In Thailand, Paetongtarn noted that the Finance Ministry, which sponsored the bill, would later provide more details about the plans, promoted as “entertainment complexes.”

The current government, which took office in September, has pledged to make resolving the country’s economic challenges its top priority.

The draft law, published online for public viewing, proposes that a casino operate within a complex that also houses businesses such as hotels, convention halls, malls, or theme parks. Entry will be prohibited to those under 20 years old. Foreigners will have free access, but Thai citizens must pay an entrance fee of 5,000 baht ($148), according to the draft.

The bill will be submitted to the Office of the Council of State for review before being discussed and voted on by the House of Representatives and the Senate, government spokesperson Jirayu Hoangsub stated.
“Isn’t it time for Thailand to acknowledge that there are gambling places, both legal and illegal, in the country and neighboring nations? This project aims to generate revenue for the country’s tourism sector,” Jirayu said in a statement.

Tourism is the primary driver of Thailand’s economy and has been a key focus for successive administrations seeking economic improvement.

According to Lee, international casinos have long recognized Thailand’s potential and established marketing operations there. He added that Thailand represents the greatest challenge for any gaming jurisdiction in Asia.