Hopes fade to open by 2020 Olympics
A coalition of Japanese lawmakers last week submitted another bill that would legalize casinos in the country. The coalition includes members of the ruling Liberal Democratic Party, the Japan Innovation Party and the Party for Future Generations, according to Reuters.
Legal casinos have been under consideration in Japan for about a decade, but have always been held up by opposition from religious leaders. Komeito, a Buddhist-influenced political party and junior partner in Prime Minister Shinzo Abe’s government, is among the chief opponents, and has expressed concerns about gambling addiction, crime and the possible impact of gaming on young people.
International gaming companies are prepared to invest billions in the country, but have warned that the window of opportunity eventually will run out. Earlier this year, MGM President Bill Hornbuckle said, “At some point someone is going to have to say, ‘This is important to us, let’s push this thing forward.’” If the parliament fails to act, he said, “I think it does lose the momentum of a significant opportunity… so we would look elsewhere.”
The American Gaming Association is lending its support to the campaign to legalize casinos. According to a news release last week from AGA President Geoff Freeman, the organization “is serving as a critical resource for Japanese influencers and decision makers on the positive role that casino gaming has played in the United States and other global markets.
“Casino gaming is a proven mechanism for attracting tourists, strengthening local economies and strengthening communities,” Freeman said.
The AGA says Freeman met with Japanese reporters in New York City during Abe’s visit to the United States and stressed the economic benefits of gaming, the industry’s commitment to anti-money laundering practices, the importance of responsible gaming and the value of casinos a community partners.
Ideally, say casino proponents, the first resorts should be up and running by the 2020 Olympic Games in Tokyo, but that goal may be unrealistic given all the foot-dragging and continuing opposition. Over the long term, however, CLSA Ltd. has estimated that Japan could turn into Asia’s second-largest gambling hub that’s worth $40 billion in annual revenue as early as 2025.
Fueling the opposition is a report from a Health Ministry panel that more than 5 million Japanese, or about 5 percent of the population, are addicted to gambling.
If the latest bill passes, a second bill would be required to outline the rules and regulations for casino operations, as well as the bidding process for obtaining a gaming license.
