Japan IRs won’t be affected by the political landscape

According to analysts, PM Shinzo Abe’s re-election in front of the LDP won’t speed up the arrival of the first casino venues to the country.

Japan.- The casino industry is soon to land in Japan as proper legislation was recently approved, but speculation has surged around how the Liberal Democratic Party’s leadership election would affect the timeline for its development. According to analysts, Prime Minister Shinzo Abe’s re-election as leader of the party won’t have any direct effect on the development of the process.

“I don’t think his re-election will have any impact on the IR situation other than it will keep moving it forward. Otherwise this doesn’t change the pace of IR events,” Grant Govertsen, an analyst at brokerage Union Gaming Securities Asia Ltd, told GGRAsia and added: “We continue to believe that the first licences are at least two years away from being issued, if not longer, and that the first IR is unlikely to open prior to 2025.”

According to brokerage CLSA Ltd, Mr Govertsen’s forecast is accurate, as they also believe that the first Japanese resorts might not open until 2026 at the earliest, with Tokyo, Osaka and Yokohama likely to be selected as locations for the first wave of openings.

“Firstly, it is required to have the Casino Control Committee to be formed,” chairman of Tokyo-based Gaming Capital Management Inc Mike Tanji asserted as he considers the Japanese government has had several issues to address casino developments. “At the same time, there shall be certain guidelines to be announced by the Ministry of Land, Infrastructure, Transport and Tourism,” Mr Tanji further explained.