Resort will “invigorate Boracay brand”
Philippine President Rodrigo Duterte has been adamant in his declarations that no casinos will operate again on the holiday island of Boracay. But Francis Lui, vice chairman of Galaxy Entertainment Group, thinks he can change the president’s mind.
Speaking recently to Inside Asian Gaming, Lui said the company’s stalled $500 million Boracay resort project is a perfect fit for the island paradise, which Duterte recently closed for a six-month environmental cleanup program.
“We’re still communicating through our partner,” Lui told IAG. The resort project, which Galaxy planned to develop with local partner Leisure and Resorts World Corp., won a provisional license from the country’s gaming regulator, the Philippine Amusement and Gaming Corp. before Duterte issued his no-casinos decree.
“We are still wanting the people there to understand there’s a misconception,” Lui continued. “I’m sure that once the truth is being told and understood about how our project would not be a big project, then people will come to know that this is the type of project that is needed to invigorate the brand Boracay used to have.
“It’s always been one of the top five beach islands of the world and we truly want to be part of it and make sure we would be able to elevate it back to the same position as before.”
He described a different model of integrated resort that focuses on the environmental splendors of an island like Boracay. “Customers are sophisticated enough to be loving the sun and the sea. They’d like to have an alternative destination and Boracay seems to be the perfect place.”
Duterte seems to be standing strong in his moratorium on casinos. PAGCOR chief Andrea Domingo has made it clear she would welcome the opportunity to dissuade him. According to GGRAsia, PAGCOR’s revenue from gaming operations rose 18.3 percent from the previous year to PHP67.85 billion (US$1.3 billion) in 2018. The regulator posted PHP2.31 billion in income from other services, the news outlet reported.
PAGCOR said regulatory fees from licensed casinos rose 25.3 percent year-on-year to PHP24.12 billion last year. In addition to serving as the Philippines’ gaming regulator, PAGCOR also is an operator of eight publicly-owned casinos and 34 satellites under the Casino Filipino brand. In 2018, PAGCOR announced a plan to sell off its properties amid concerns about conflicts of interest, but with the boom in gaming revenues, that plan seems to have been put on the back burner for now.
Domingo said GGR for 2018 reached PHP200 billion, an increase of 13 percent year-on-year. She recently forecast 8.5 percent growth to PHP217 billion for 2019, and urged President Rodrigo Duterte to reconsider his ban on new casino licenses, saying, “Gaming seems to be the sunrise industry now in Asia.”
