The number of foreign tourists visiting South Korea fell 90.4 percent year-on-year in February to 65,582, including an 88.5 percent fall in visitors from China and 99.2 percent decline in those from Japan, the nation’s two largest source markets.
According to the Korea Tourism Organization, fewer than 12,000 Chinese tourists visited in February compared with more than 104,000 a year earlier. Similarly, fewer than 1,720 Japanese tourists arrived during the month, compared with 211,000 in February 2020. The number of Taiwanese visitors fell 99.2 percent to just 444.
Needless to say, the lack of tourism has weighed hard on the country’s 16 foreigner-only casinos, reported Inside Asian Gaming. Paradise Co. posted a 72.9 percent year-on-year decline in casino revenue for the month to KRW64.10 billion (US$57.1 million).
Grand Korea Leisure recorded just KRW507 million (US$448,000) in casino revenues for the month, down 98.8 percent year-on-year.
Landing International, meanwhile, said Jeju Shinhwa World, its foreigner-only integrated resort in South Korea, generated positive revenue in the second half of 2020 after it started marketing to locals. For the whole year, revenue was down just 3.4 percent to HK$788 million, while the group posted a loss of HK$2.1 million, little changed from the prior year.
In related news, Mohegan Gaming & Entertainment (MGE), the U.S.-based promoter of the Inspire Entertainment Resort in Incheon, has been granted a one-year postponement on the Phase 1 opening. Inspire also includes a casino that would cater to foreigners only.
In an email to GGRAsia, Inspire CEO Andrew Billany wrote, “We are thrilled to hear the news of the awaited business plan change approval from the government. We plan to normalize the resort construction shortly, [and] fully dedicate our efforts on securing financing.” Funding for the $1.6 billion multi-phased resort project “slowed down materially” when the Covid-19 pandemic kicked in, MGE stated.
The company now plans to open in the first half of 2023 instead of 2022 as originally planned and will now include an outdoor activity park. “The approved change plan incorporates sustainable development and forward-looking strategies, given the realistic and practical shifts in the tourism and hospitality industry hard hit by the Covid-19 crisis,” MGE said.
In late March, MGE announced the appointment of its former president and chief executive Bobby Soper, as the company’s international president. Soper will be responsible for the group’s expansion plans in Asia.
