Thailand publishes draft casino bill
The government plans to grant 30-year casino licences.
Thailand.- The Thai Council of State has released the final draft of a bill to legalise entertainment complexes with casinos. The draft will be open to public feedback until August 18.
The proposed rules include 30-year casino licences, with the option for a 10-year renewal. Casinos would be part of large entertainment complexes with hotels, convention centres, and amusement parks. In May, Julapun Amornvivat suggested that the casino component would be no more than around 5 per cent of the project’s total area.
The draft bill stipulates that complexes should be located in designated areas and operated by companies registered in Thailand with a minimum paid-up capital of THB10bn (US$283m). A policy panel led by the prime minister and a regulatory agency would oversee the industry.
Five locations are considered potential hosts: two in Bangkok, and one each in the Eastern Economic Corridor, Chiang Mai, and Phuket. Authorities hope IRs could increase tourism revenue by US$12bn.
MGM Resorts International and Galaxy Entertainment Group have already shown interest in the possibility of casino resorts in the country. Investment group CLSA said Las Vegas Sands and Wynn Resorts are also interested.
Analysts predict that the legislative process will take one to two years, followed by another three to four years for construction. That timeline suggests that the first casino could open by 2029. CLSA estimates that a 17 per cent tax on US$15.1bn gross gaming revenue (GGR) could generate US$2.6bn in annual tax revenue.
