Vietnam strengthens casino industry as regulations ease

JLL, a real estate service company, respected Vietnamese officials who set up strategies to accelerate the development of the casino industry and curb illegal activities by allowing locals to gamble at gambling houses in Vietnam.

The JLL expert team reported significant economic growth as Vietnam relaxed local regulations on domestic gambling, which have been in place since early this year. He explained that strong regulations would only create a wave of illegal activities and promote shady business throughout the country. In addition, it is in the nation’s financial interest to regulate the market to locals, as it will prevent income outflows and further promote economic growth.

Currently, the government allows locals to visit two gambling venues, the Pudon Islands and the Phu Quoc Islands, but plans to add Hotram’s third allowed gambling venues to the aforementioned two to further develop the game industry and raise the national budget.

The announcement boosted the appetite of some of the largest international operators, including Las Vegas Sands, as well as local Sun Group. The latter was reported as the only operator allowed to establish a gaming facility in Van Don. In a recently released JLL report, the company said the number of hotels that install game consoles continues to increase.

Frank Sorgiovanni, head of JLL APAC, pointed to Melco Crown Philippines as a role model. He added that the key to success is the right business strategy because Vietnam is a country with good prospects for becoming a major tourist destination. He explained that operators should benefit from the favorable conditions offered by the country. Sorgiovanni explained the bright future of the country’s game industry.

Officials consider allowing Vietnamese to gamble at certain gambling venues in the country as a strategic move, which the government is considering responsible gambling problems by boosting the economy, curbing the spread of illegal activities across the country, and limiting the number of gambling venues that locals can visit.

Experts explain that because the Vietnamese government is liberal about its country, it is effectively dealing with illegal activities while enjoying economic benefits. Although Vietnam has gone through a long and bumpy journey to major casino development, it should be noted that the market is developing at a rapid pace.

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