Draft rules harsh on Thais
A new draft regulation from Thailand Prime Minister Paetongtarn Shinawatra’s government on the national plan to establish integrated resort casinos in the country by 2029 appears, by design, to dissuade Thai citizens from participation.
could also cool investor interest
According to media reports, the draft rules released on February 17 could also cool investor interest.
The draft issued by Thailand’s Office of the Council of State essentially prescribes Thai nationals to have fat bank accounts before they can set foot in an IRC to gamble.
To enter a regulated casino in Thailand, as per the draft’s wording, nationals will need to prove they have at minimum THB50m ($1.48m) in fixed deposits for at least six months in their bank accounts.
Protection or politics?
Under the draft, casinos would be allowed to charge entry fees capped at THB5,000 ($148), which according to regional media “will effectively block large swathes of the population” from even thinking about visiting a casino.
As a predominantly Buddhist nation, Thailand faces a deep cultural conflict over gambling, at least at the political level. Approximately “two to four million” Thais currently gamble online illegally either via unlicensed offshore sites or at illegal gambling dens.
While Thailand is the only non-Muslim ASEAN country without a legal gambling market, Paetongtarn’s government faces the dilemma of legalizing the market while incurring the wrath of Buddhist hardliners.
would restrict casino access to wealthier Thai individuals”
In addition, according to a Singapore gaming consultant, casino entry fees as high as $148 “would restrict casino access to wealthier Thai individuals.”
Daniel Cheng added that the $1.48m bank deposit rule “would render Thai casinos no better than foreigner-only regimes like South Korea’s.”
What’s next?
The proposed draft law will now be run through public hearings until March 1 and then Paetongtarn’s cabinet will need to approve it before the draft is sent up to parliament for another decision.
A further restriction in the draft could give potential US investors in Las Vegas Sands, MGM Resorts, and Wynn Resorts the jitters. It states that the casino area of an IRC can only occupy a maximum of 10% of the entire complex space.
