5-8-2024 (BANGKOK) In a bold move to enhance its appeal as a premier tourism destination and attract billions of dollars in foreign investment and tax revenue, Thailand is pressing ahead with plans to legalize casinos. The government has published draft rules for public feedback until August 18, outlining the framework for allowing casinos to operate within large-scale entertainment complexes throughout the country.
Drafted by the Council of State, Thailand’s legal advisory body, the proposed legislation envisions granting initial licenses for casinos to operate for 30 years, with the option to renew for an additional decade. These casinos will be housed within massive entertainment hubs, encompassing hotels, convention centers, amusement parks, and other attractions, in a bid to create a comprehensive and immersive experience for visitors.
Thailand’s foray into the casino industry positions the country as a contender in the global gaming market, estimated by IbisWorld to have generated a staggering $263 billion (approximately £209 billion) in revenue in 2023. Major players such as Galaxy Entertainment Group and MGM Resorts International have already expressed interest in establishing casino resorts in the Southeast Asian nation, viewing it as a strategic hedge against uncertain prospects in the iconic gambling hub of Macau. Las Vegas Sands, a prominent casino operator, has also signaled its intent to expand to Thailand should the opportunity arise.
Prime Minister Srettha Thavisin, who assumed power less than a year ago, has been a staunch advocate for policies aimed at attracting foreign investment to Thailand. The casino legalization plan aligns with his administration’s aggressive pursuit of economic growth and diversification, backed by the potential for improved oversight and proper tax collection from the gaming industry.
The move has garnered support from Thailand’s 500-member House of Representatives, which has endorsed a study conducted by a panel of lawmakers favoring the establishment of legalized casinos within large entertainment venues. The study found that Thailand could potentially increase its tourism revenue by approximately $12 billion (£9.6 billion) through the legalization and regulation of casinos integrated into comprehensive entertainment complexes.
While most forms of gambling remain illegal in Thailand, a predominantly Buddhist and conservative society, the potential opening of casinos reflects the country’s recent embrace of a more liberal landscape in an effort to revitalize its tourism industry in the wake of the COVID-19 pandemic. In 2022, Thailand became the first country in Asia to decriminalize cannabis, and it is poised to become the first nation in Southeast Asia to legalize same-sex marriages, signaling a shift towards a more progressive societal outlook.
According to the draft legislation, the proposed entertainment venues should be located in government-designated areas and operated by companies registered in Thailand with a minimum paid-up capital of 10 billion baht (approximately £237 million). The bill also proposes the establishment of a comprehensive entertainment venue policy panel, led by the prime minister, and a dedicated agency to regulate the nascent industry.
Thai officials have previously identified popular tourist destinations such as Greater Bangkok, Phuket, Chiang Mai, and Chonburi, home to the renowned beach resort of Pattaya, as potential locations for these integrated entertainment complexes.
Tourism remains a vital industry for Thailand, accounting for approximately 20% of total employment and contributing roughly 12% to the nation’s $500 billion economy. Foreign arrivals in 2024, through July, have surged by around 34% compared to the same period in 2023, reaching over 20 million visitors, underscoring the sector’s remarkable recovery and growth potential.
