Yokohama mayor on the fence
Two cities in Japan are contenders for the first pair of casino licenses to be awarded in the country. In December the Japanese parliament known as the Diet passed legislation to allow casinos. Though a separate bill detailing taxation, regulatory structure and other matters has yet to be approved, the wheels are in motion to create two billion-dollar casino resorts, probably in Osaka and Yokohoma.
According to the Japan Times, leaders in Yokohama originally distanced themselves from the proposed plan, but now are considering it. But officials in Osaka have been enthusiastic from the start, and are pushing hard to be one of the chosen.
Osaka hopes to build an integrated resort on Yumeshima island in Osaka Bay by 2024 in time for the World Exposition in 2025. The expo’s host city will be chosen in November 2018; Osaka is a front-runner, along with Paris.
Osaka officials have released a development plan that features a 70-hectare (173-acre) resort facility with a casino, hotels, shopping arcades, galleries and a convention center. Another 60 hectares would be set aside for the 2025 Expo; the total investment has been estimated at 824 billion yuan (US$119 billion) the Times reported.
Osaka Mayor Hirofumi Yoshimura is committed to the project, and has said, “Talking about a ‘Plan B’ or ‘Plan C’ will just make bidding more difficult.”
By some estimates, a legal gaming industry in Japan could reap as much as $40 billion per year and employ some 70,000 people. The Japanese are fervent gamblers, the Times reports, and in 2015 wagered 23.3 trillion yuan on pachinko and slot machines—approximately 4 percent of Japan’s gross domestic product.
Despite the popularity of the games, there is widespread disapproval of legal casinos in the country with many Japanese concerned about a possible increase in compulsive gambling and crime.
According to a poll conducted by Yomiuri Shimbun, many residents “feel uneasy about casinos,” and believe the country should pursue other revenue-generating industries such as manufacturing. Some studies show that as few as 12 percent of the populace are in favor of integrated resorts with gaming, Casino.org reports—a sentiment that could quench the support of lawmakers for the projects.
Yokohama Mayor Fumiko Hayashi at first was opposed to the idea of an integrated resort in her city, but is now at least willing to consider it. She too is concerned about gambling addiction. “Priority should be given to studying how to deal with dependence on gambling. It is difficult to take a concrete step” toward attracting a casino, she said.
Other local governments in Hokkaido and the Kyushu district are also weighing the potential benefits of hosting casino resorts.
