Thailand is set to implement measures to record and monitor financial transactions of casino visitors to combat money laundering, as the government aims to gain support for a bill to legalise gambling venues within new integrated resorts.
The country plans to enforce responsible gaming regulations, which include prohibitions on casino advertising and barring those considered “financial risks” from entry, explained Suksit Srichomkhwan, Deputy Secretary General to Prime Minister Paetongtarn Shinawatra.
Thailand’s gaming regulatory framework will draw from the models of Singapore, Japan, and the United Arab Emirates, where licences are limited and require substantial investments, Suksit stated during a briefing in Bangkok.
Each entertainment complex in the country will necessitate a minimum investment of 100 billion baht.
Earlier this year, the administration under PM Paetongtarn faced delays in introducing a bill to legalise casinos due to opposition from religious groups, anti-gambling networks, and certain political parties.
The government has proposed integrated entertainment complexes as a means to enhance the tourism sector, a crucial component of Thailand’s economy that has been showing signs of weakness this year.
Should the bill be approved, it may enable Thailand to join the global gaming market alongside Macau and Singapore, offering a new potential growth driver for the country’s sluggish economy. Interest in investing in Thai casinos has been expressed by major international companies such as US-based Wynn Resorts and MGM Resorts International.
According to Suksit, these entertainment complexes could boost foreign tourist arrivals by 5% to 20% and increase average spending per person per trip by approximately 22,000 baht.
However, critics argue that the casino proposal may exacerbate gambling addiction and primarily benefit large businesses and foreign investors, potentially becoming conduits for money laundering.
Due to stringent surveillance, “money laundering will be almost impossible in these premises,” Suksit said. “Even the operators want to compete in a strictly regulated environment.”
The draft legislation stipulates that casinos should occupy only 10% of the space within each integrated entertainment complex, which must also include at least four other types of businesses.
The proposal also includes strict entry requirements for Thai citizens, such as demonstrating bank deposits of 50 million baht. Finance ministry officials have acknowledged this limit as unrealistically high and may consider adjusting it, reported Bangkok Post.
Deputy Finance Minister Julapun Amornvivat stated that the government is not rushing to pass the bill, as it is determined to ensure the legislation remains “clean and clear.”
He emphasised that the entertainment complexes could serve as a new growth engine amid rising geopolitical challenges, to pass the bill within the next two years of its tenure.
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