Thailand’s Cabinet Approves Casino Gambling Legislation
Thailand’s government has greenlit the second draft of a law intended to legalize casino gambling, aiming to create a premier gaming sector and boost tourism.
The proposed Entertainment Complex Bill, sanctioned by the cabinet recently, would allow the establishment of casinos within expansive “integrated resorts,” akin to those found in Singapore.
Previously, in January, the cabinet approved an initial draft of this bill, which was then sent to the Council of States for legal scrutiny. The council had previously voiced concerns regarding the legislation.
To address these worries, the newly approved draft imposes stricter regulations on Thai nationals wishing to gamble. As reported by Reuters, the law mandates that Thais be charged an entry fee of 5,000 baht ($147) and maintain a minimum of 50 million baht ($1.4 million) in a fixed deposit for six months. Additionally, casinos can occupy no more than 10 percent of the total area within each entertainment complex.
Earlier this month, Thai officials announced the removal of the 50 million baht asset requirement to prevent excluding the majority of Thailand’s 70 million citizens from gambling access. Nonetheless, Deputy Finance Minister Julapun Amornvivat stated the government would proceed with the draft as is, intending to consider amendments later.
The current Gambling Act of 1935 restricts legal gambling in Thailand to state-run horse racing and a official lottery. However, ongoing efforts by successive governments have sought to relax these restrictions, a priority for the Pheu Thai-led administration, which aims to harness legalized gambling to attract substantial investments and enhance foreign tourist numbers by 5 to 10 percent.
Julapun indicated that the country could see investments of at least 100 billion baht per complex, along with the creation of up to 20,000 jobs. He projected that foreign tourists would spend significantly more during each visit, resulting in considerable economic benefits. The draft legislation ensures that the proposed entertainment complexes are controlled by Thai-registered companies with a minimum capital of 10 billion baht ($295 million), with licensing fees scaling down to 1 billion baht ($29 million) annually after an initial year charge of 5 billion baht ($147 million).
The bill is slated for review by the House of Representatives, where a vote is anticipated before the parliamentary session concludes on April 11. Following approval, it will still require the Senate and royal endorsement to become law. Prime Minister Paetongtarn Shinawatra has communicated that the law’s specifics remain subject to further legislative discussion.
A recent public hearing on the draft bill engaged 71,289 participants, with 80 percent expressing support. Despite this backing, a survey conducted by the National Institute of Development Administration revealed significant apprehension about risks versus benefits. Many respondents voiced concerns over societal morality, economic efficacy, and potential gambling issues. Furthermore, the opposition People’s Party has criticized the bill, claiming it could deter Chinese travelers from visiting Thailand.
