South East Asia is already a big tourist destination and slowly and steadily more reforms are being made to make it a heaven for tourism and vibrant casino and gaming industry. Cambodia in this move is already working on new legislation in a bid to attract foreign investors to its vibrant and growing casino and gaming industry. Cambodia is already known for its great culture and is a famous gaming hub for tourists all over the globe.
The proposed legislation to attract and eye foreign investment was already in making since last three years and now it is expected to be passed after general elections finally. Government is working hard to make this legislation smooth as it offers $50 million in tax revenues. As per Cambodian officials government is planning to set tax ration for casino games between 4 to 5 percent to match regional casinos in Singapore. Since 1990’s Cambodia’s casino business has grown rapidly and 65 licensed casino and the sector dominated by the Hong Kong listed Naga World Hotel and Entertainment complex in Phnom Penh.
Ben Reichel, executive director of the Sydney-listed Donaco International, states across South East Asia there is significant demand underpinning the potential growth in the gaming industry. “There’s a lot of unsatisfied demand in the region as a whole. If you look at the number of tables compared to somewhere like the USA, it’s actually a very low number of gaming tables available – which is why there is so much illegal competition going on,” Reichel said.
Cambodia has gained from casino restriction and outright bans in Thailand or where local gamblers are prevented from entry to existing casinos. Outside Phnom Penh, where Naga World enjoys a monopoly, other key clusters of casinos are in the border town of Poipet, near Thailand, the seaport of Sihanoukville, and to the east along the border with Vietnam. But a decision by Vietnam’s authorities to allow local gamblers to use Vietnam based casinos was seen as a threat to those casinos near Vietnam’s border.
NagaWorld revenues amounted to $625.33 million in 2017 up from $225.66 million the previous year. Its net profit rose 39 percent to $255.2 million. The boon to the Cambodian market also came with an easing of visa rules for Chinese visitors. In 2017 arrivals from China rose more than 40 per cent to 1.2 million, surpassing Vietnam to become the largest source of tourists in Cambodia. “The government has said they want to make China one of their top three — if not number one source of tourism going forward,” said Donaco’s Reichel. In comments emailed to VOA, executives of Macau-based VIP junket operator Suncity Group said; “Chinese gamers will definitely be the main course for the VIP market in Cambodia”.
