20-11-2024 (SINGAPORE) Singapore’s Gaming Control Board has issued only a two-year casino licence renewal to Resorts World Sentosa (RWS), marking the first time authorities have granted a licence shorter than the standard three-year term.
The decision, announced on Monday, stems from concerns over the integrated resort’s tourism performance rather than any regulatory infractions. The Gaming Authority emphasised that RWS remains “fit to manage and operate casinos” despite the shortened licence period.
An evaluation team appointed by the Minister of Trade and Industry found the resort’s tourism performance between January 2021 and December 2023 fell short of expectations, recommending a reassessment in 2026. The review process involved input from multiple stakeholders, including the Ministry of Trade and Industry, Singapore Tourism Board, and Sentosa Development Corporation.
The decision comes despite RWS’s ambitious S$6.8 billion expansion plans, dubbed RWS 2.0, which includes a new waterfront development scheduled for completion in 2030. The project promises to introduce new hotels, retail spaces, and an 88-metre-high hiking trail overlooking the southern waterfront.
Professor Lu Yaoqun from the National University of Singapore Business School noted that the shortened licence period sends a “strong signal” to RWS about meeting industry standards. “Integrated resorts must continuously innovate and demonstrate tangible contributions to Singapore’s tourism sector, beyond merely operating as overseas company subsidiaries”, he explained.
Genting Singapore, RWS’s parent company, acknowledged the challenges faced during the assessment period, particularly citing the impact of the coronavirus pandemic. The company stated it would “accelerate its transformation” and upgrade existing facilities to enhance visitor experience.
While RWS has faced regulatory fines exceeding S$2.3 million in the past two financial years for compliance issues, authorities maintain these violations did not influence the licence renewal decision. The resort’s ability to maintain its position as a premier tourist destination will be crucial for future licence renewals.
