The possibility that Vietnam’s government will move to rescind a ban on gambling by its citizens was highlighted recently when a delegation from the National Assembly paid a visit to The Grand – Ho Tram and met with management of the resort, which is reported to be struggling since opening last July at a cost of US0 million.
In sitting down with the members of the assembly’s Committee on Finance and Budget, Ho Tram Project Company Director Colin Pine also brought up the need for a comprehensive and transparent regulatory framework to guide the industry’s growth and ease investor concerns.
The committee’s Vice Chairman Dinh Thinh Hai acknowledged the importance of resolving uncertainties surrounding finance, taxes and the issue of domestic gambling and said a decree on casino management will be completed and passed by the middle of this year.
He added, however, that the issue of domestic gambling remains politically sensitive.
Pine suggested that the ban could be loosened on a small scale, pointing out that Vietnamese are flocking to Cambodian casinos, which is costing the country as much as US$800 million a year in lost tax revenue, according to recent estimate cited by Reuters. The impact on The Grand has been dramatic as well. Through January, the resort has generated all of $5.5 million in revenue in five months of operation.
Ho Van Nien, deputy chairman of the governing committee of Ba Ria-Vung Tau province, where Ho Tram is located, likewise suggested opening the market piecemeal, limiting locals to machine games and retaining the ban for civil servants and members of the armed forces and the ruling Communist Party.
