Thailand is looking to jump into the bandwagon of iGaming by expanding its current gambling regulation. However, while legislators recently rubberstamped a new bill, the general public doesn’t seem to be on board with the plan and would like a referendum on the matter, according to a new poll.
The Thai government is looking to change the 1935 Gambling Act B.E. 2478 and expand its provisions to bring it up to par with the modern age of taking part in games of chance. This move aims to control the rise of online gambling and improve how these activities are regulated.
Based on what the legislators are saying, the new amendments will impact players, online gambling operators, and related marketing activities if enacted. The draft amendment is currently undergoing a public hearing, and the process is set to end on February 14, 2025. However, an overwhelming majority of Thai nationals are against this move.
The bill outlines that casinos must be part of large, full-service resorts similar to what’s available in Singapore. For instance, these resorts would need to offer at least four attractions unrelated to gambling. Options include stadiums, hotels, concert halls, restaurants, theme parks, clubs, or shopping areas, while the space dedicated to gambling would be limited to only 5% of the total resort area.
Licenses for these operations would be available for 30 years, with evaluations every five years, and if approved, operators could renew their licenses for up to 10 years. Those applying for a casino license must be registered in Thailand and show proof of at least THB10 billion (288 million/£237 million) in paid-up capital. Then, upon approval, they must pay an initial license fee of THB4.9 billion, followed by annual fees of THB1.0 billion.
Thailand’s government initially plans to issue five licenses, with two for Bangkok and one for Pattaya, Chiang Mai, and Phuket. Additionally, the draft bill suggests a 17% tax on the total gaming revenue. The Office of the Full-Service Entertainment Regulatory Commission would oversee and manage the legal gambling industry.
A recent survey by the National Institute of Development Administration (NIDA) found that most Thais strongly disagree with the government’s plan. More than half (59.19%) of respondents expressed opposition when asked about developing entertainment complexes with a casino. This demographic opposed both projects. Meanwhile, 28.93% favored the entire project, and 8.63% supported the complex without a casino. About 1.68% had no opinion, and 1.60% backed only the casino resort establishment.
The respondents were also asked about their views on the government’s move to legalize online gambling. Interestingly, 58.32% were firmly against it, while 19.92% fully supported the idea. Another 11.45% somewhat agreed, and 10.31% somewhat disagreed. There were varied opinions regarding holding public referendums on the construction of casino entertainment complexes and the legalization of online gambling.
So, 51.07% disagreed with holding referendums for both online gambling legislation and the casino-entertainment complex, whereas 37.86% didn’t have a problem with referendums for both projects. Meanwhile, 5.11% were okay with scheduling a referendum just for the casino-entertainment complex project, but 3.89% affirmed organizing a referendum for the legalization of online betting legalization only. Finally, 1.99% of the respondents had nothing to say, and 0.08% didn’t give an answer.
NIDA conducted this poll through phone interviews on January 20 and 21. It included 1,310 participants aged 18 and older from different educational backgrounds, occupations, and income levels across the country.
The Thai government is backing its plan to legalize online gambling with the potential to generate around THB100 billion ($2.89 billion) in yearly revenue. Thaksin Shinawatra made the announcement. The 75-year-old former Prime Minister is believed to have significantly influenced the current Prime Minister, his daughter Paetongtarn.
Thailand’s gambling industry is gaining attention due to the country’s competition with Japan in opening the region’s first integrated resort casino. The new government is incredibly fast to boost revenue. Shinawatra mentioned at a Bangkok event that Paetongtarn’s government is working on plans to regulate online gambling and collect taxes from it. He also shared that the government is considering allowing cryptocurrency to be a legal payment method.
Thailand’s decision to legalize online betting makes sense, considering its widespread popularity despite strict gambling bans. The country has millions of online gamblers. Government stats capture a collective savings of around THB300 billion ($8.6 billion) and annual gambling transactions totaling about THB500 billion ($14.3 billion). This tax on gambling activities could earn the government $2.89 billion annually.
Shinawatra mentioned that the government is developing an ID-based system to control access to online gaming. This system aims to block underage users and keep track of problem gambling. He also encouraged Thailand’s financial sector to adopt cryptocurrency.
Neighboring countries like Singapore, Cambodia, Laos, the Philippines, and Myanmar have benefited enormously from large casino complexes. Thus, Thailand could follow their example if the draft law is approved, and that’s what legislators are after.
Based on numbers crunched by analysts, a legal gambling industry is expected to boost foreign visitor numbers by 5% to 10%. Deputy Finance Minister Julapun Amornvivat predicts that tourism revenue could increase by up to THB220 billion. Additionally, the move could create between 9,000 to 15,000 new job opportunities.
Paetongtarn Shinawatra, the nation’s Prime Minister, pointed to changes in the US after President Trump’s unexpected return as a key reason for this move. He emphasized the need for Thailand’s SEC to strengthen its digital strategy following the United States’ growing focus on cryptocurrency.
Moreover, the Thai premier recommended the trade of stablecoins backed by assets. She also mentioned that Paetongtarn’s government is considering introducing cryptocurrency as a legal payment method, with a trial planned in Phuket. Meanwhile, the Thai cabinet recently approved a draft to legalize gambling, even with a degree of negative public opinion. The current administration is moving forward quickly with major reforms despite only coming to power in August 2024.
Prime Minister Paetongtarn Shinawatra spoke to reporters on Saturday to defend the plan that has caught the attention of major global gaming companies like Las Vegas Sands Corporation, Galaxy Entertainment, and Melco Resorts and Entertainment.
She emphasized that entertainment complexes are not simply gambling hubs, explaining that they are designed to attract tourists and create new income streams for Thailand. Casinos would only be a small part of broader tourist attractions. She added that the bill would go through further revisions to address public concerns before its final approval.
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