This week’s revelation that Thailand is looking to exclude local players by imposing a requirement for Thai nationals to hold at least TBH50 million (US$1.5 million) in their bank accounts to be able to enter the nation’s legal casinos may already have investors reconsidering their interest.
Genting Singapore – the first Asian casino and resort operator to host an earnings call since Thailand’s Council of State unveiled the key change to its draft entertainment complex bill – told analysts overnight that “it will be difficult to commit to a high IR capex if the market size is reduced to mainly foreign-only visitors,” according to a note from Nomura.
The company had noted in its 4Q24 results announcement hours earlier that it was “closely monitoring [developments in Thailand] and will continue to evaluate and explore geographical diversification opportunity.”
As reported by Inside Asian Gaming, the new draft regulation would require Thai nationals to hold at least TBH50 million (US$1.5 million) in fixed deposits for at least six months to be able to enter the nation’s legal casinos, essentially denying access for the vast majority of locals.
This would be on top of a THB5,000 (US$150) entry fee for locals, adding another barrier to entry for a nation whose annual GDP per capita stands at around US$7,300.
It has also been proposed that Thailand’s casinos must be separated from the broader entertainment complex and with their own gates and entrances, although it has been agreed that the maximum casino floor space be set at 10% of the total resort area, up from a 5% cap previously.
The draft bill is currently undergoing a second round of public hearings until 1 March and will then require further approval by cabinet before being sent to parliament for deliberation.
Genting Singapore, operator of Resorts World Sentosa, is one of a number of international operators to have previously expressed interest in Thailand, alongside the likes of Las Vegas Sands, Galaxy Entertainment Group, Melco Resorts, Wynn Resorts and MGM Resorts.
