Bill may not face a vote until fall
The Japanese government has made little to no progress in its planned integrated resort industry after lawmakers failed to agree on the terms of a gambling addiction bill.
Prime Minister Shinzo Abe’s ruling Liberal Democratic Party and the opposition Democratic Party agree the legislation is vital to address concerns among the populace about problem gambling at casinos, reported the Asia Gaming Brief. But talks “have reportedly broken down,” AGB added, and the bill may not pass by June 18, when the ordinary session is due to end.
Noriko Tanaka, president of the Society Concerned about Gambling Addiction, called the ruling party draft “inadequate” and said it doesn’t specify rules for compliance or penalties for non-compliance, reported Bloomberg News.
Investment group Morgan Stanley said the passage of a gambling addiction bill is “a key indicator” for the country’s integrated resort industry. “If the anti-addiction bill can be passed by the end of this Diet session, it will show the government’s urgency in opening IRs.” But some industry observers say the bill will not go to a vote until the fall.
Compulsive gamblers comprise 1 percent to 2 percent of any given population, University of Memphis Professor James Whelan told the Japanese government. That means 1 million to 2 million Japanese could be problem gamblers, according to Bloomberg News. There is strong sentiment in the country for strong regulations and a comprehensive plan to fight gambling addiction.
Multiple global operators are gearing up to bid on casino licenses in Japan including the Las Vegas Sands Corp.—touted by some analysts as the front-runner—as well as Hard Rock International, Melco Resorts & Entertainment, Galaxy Entertainment Group, MGM Resorts International and others. Genting Singapore says it’s only interested if locals as well as foreigners are allowed to gamble.
Two integrated resorts are expected to be developed in major metropolitan areas, with the possibility that several smaller casinos will be licensed in regional areas. A new entry in the casino stakes is Wakayama prefecture, which says it will announce its own integrated resort master plan by November. Located on the southern coast of Honshu Island in Japan, the prefecture is likely to fall in well behind the big contenders, Osaka, Yokohama and Tokyo.
