The push for legalising casinos in Japan in order to boost regional development and tourism numbers is being quite uncertain as the government is yet to determine the number of casino resorts that will be allowed in the country. A Friday report in GGRAsia reveals that the ruling party has not yet reached a consensus on this matter which is considered essential for the future of the industry.
According to a GGRAsia correspondent, a working group consisting of members of the Liberal Democratic Party of Japan (LDP) attended a meeting on Wednesday with the objective to hear proposals and make decisions regarding the Integrated Resorts Implementation Bill. However, officials could not agree on various aspects of the bill, including the maximum number of casinos that would be allowed, the report adds. Government representatives mentioned certain conditions that have been discussed in the past – two or three casino resorts would be initially granted licences with another ten developments at a later stage.
While this idea, which was revealed in December 2016 discussions in the Japanese parliament, sounds rather restrictive, government officials suggested that it could be reviewed after assessment of the market demand. At the Wednesday meeting, LDP representatives insisted that the implementation bill needs to address the specific objectives of the Integrated Resorts Promotion Bill, which are economic development and promotion of inbound tourism. And for this reason, some flexibility should be tolerated. One of the attendees proposed four to five casinos to be given permission for operating in the first phase of implementation of the bill.
Proposed Restrictions Aimed at Toning Down Surging Gambling Industry
The Government in Japan is seeking ways to tone down the expected surge of casinos and the growth of the gambling industry, which some analysts expect to be worth $40 billion a year. Problem gambling and gambling addictions, in particular, are also widely seen by the Japanese society as a big threat. As an emerging market, the country is yet to determine regulations and so far, both the LDP and the Komeito, the smaller party in the ruling coalition, express willingness to loose some of the strict rules that have been proposed.
Last week, the executive branch of the government offered to the ruling coalition a draft of regulatory criteria which contained a proposal for a JPY2,000 (US$19) admission fee. Under the draft bill, customers would need to pay the entry fee each time they visit a casino, regardless of whether they are Japanese nationals or foreign tourists. In addition, the number of visits to such establishments would be limited to 3 times in a week or 10 times over a 28-day period.
The country plans on promoting casinos in a bid to attract tourists from overseas and boost the economic development of all regions. However, with the proposed restrictions, it aims at keeping Japanese nationals away from gambling venues as gambling addiction is a serious issue in the country. According to a 2017 survey presented by the Health, Labour and Welfare Ministry, 2.7 per cent of the adult population in urban areas, or approximately 2.83 million people, is addicted to gambling.
- Author
Daniel Williams
