Far East: Is Thailand’s Debut to the Gaming Industry Posing Challenges to Macau?
soi cowboy, A street notorious for its entertainment facilities is seen in Bangkok, Thailand. via reuters.
On 28th April, an event in Macau brought together groups of experts on the gambling industry. The event, which was broadcast on MBTV, has questioned Thailand’s ambitious debut into the gaming industry, as Thailand is proposing the legalisation of casino gambling.
At the event, many of the experts expressed concerns that Thailand’s debut will be a game changer as it looms to overtake Macau’s status as Asia’s gambling hub. “Macau will always have its place, attracting Chinese gamblers. But Thailand is a whole different matter,” said Rosalind Wade, CEO of Winna Media. She added that with a diversified tourism base, including visitors from Southeast Asia and Europe, Thailand could be a formidable player in Asia in regards to tourism.
Thailand’s Context
Thailand's Prime Minister Paetongtarn Shinawatra at the Association of Southeast Asian Nations (ASEAN) Summit in Vientiane, Laos last year. via ap.
This long-feared debate has been brought to many minds recently as the Thai Cabinet has approved a draft of the Integrated Entertainment Business Bill earlier this year. The ultimate goal of this bill is to legalize casinos and gambling activity within the entertainment complexes as assigned by the government in hopes of boosting tourism and the economy.
The bill grants casino licenses to companies incorporated in Thailand—either limited or public limited companies—with a minimum registered capital of 10 billion baht. The terms and conditions are listed as a 30-year term contract with the option to renew for an additional decade, while in each entertainment complex, a minimum investment of 100 billion baht is required.
The question of who can go to these entertainment complexes has also recently become an issue as the Council of State, Thailand’s legal advisory body, has introduced a clause that requires Thai nationals to maintain a 50 million baht bank deposit to be eligible to gamble has sparked controversy.
Many major international gaming firms, such as the Las Vegas Sands, the MGM Resorts, and the Galaxy Entertainment, have expressed their interest in entering the Thai market. With the demand this high, analysts from Citigroup have forecast that Thailand could generate $1.91 billion in revenue from the gaming industry annually. With those big numbers, however, comes fear and uncertainty about this bill.
Opposition Meltdown, Interests Overload
Protesters rally near the Chamai Maruchet Bridge outside Government House in Bangkok against the casino-entertainment complex bill on March 11. Chanat Katanyu via bangkok post.
The government, led by the populist Pheu Thai party, has long promoted this initiative as the 'Entertainment Complex' program, promising to attract at least 100 billion baht ($3 billion) in new investment. It is projected to boost annual foreign arrivals by 5–10% and increase revenue by over 12 billion baht each year.
However, there are concerns that these potential profits will be reaped by large corporations, as Thailand’s economy has long been dominated by billionaire families known for their capitalist practices. This can be seen in how the bids for the proposals are filled with well-connected Thai enterprises. From the Royal Turf Club of Thailand to the InterContinental Hotels, the atmosphere for the bill has been seen as a wealthy party, wilder and more expensive than any hotel in Las Vegas or Macau could ever host.
The public support for this bill has plummeted, as over 60% of poll respondents in January 2025 did not support this plan. More than the public disdain comes the political backdrop where the government’s coalition in parliament seems to be having trouble passing the bill, with some parties rejecting the bill altogether, citing that gambling will become “harmful, like a nasty cancer that destroys our society.”
Thaksin Shinawatra, the former prime minister of thailand and the father of Prime Minister Paetongtarn Shinawatra. via reuters.
All of this has come from rumors that Thaksin Shinawatra, the father of Prime Minister Paetongtarn Shinawatra and the founder of the Pheu Thai party, has been going out and about to lawmakers who are opposing the bill, suggesting that they could face expulsion from the coalition. Although this claim has been rejected by the Pheu Thai party, the widespread rumors could potentially affect the future of this bill.
Macau’s Increased Pressure
inside a macau’s casino. Benny Marty via Shutterstock.com
During a government-led Economic Development Council meeting, Sam Hou Fai, the Chief Executive of Macau, mentioned that as the city faces economic challenges from growing regional competition, the risks and challenges must not be overlooked.
From Macau’s perspective, even as the world’s largest casino hub, the increasing pressure from the emerging gaming markets is becoming too hard to ignore. With Japan advancing its casino-integrated resort, the Philippines and Singapore expanding their respective gaming sectors, Thailand’s moves to introduce bills that legalise casinos seem like the last straw for Macau; it must do something.
Currently, Macau has relied heavily on mainland Chinese visitors, who have accounted for over 70% of the city’s total visits in 2024. Although the number of visitors to the city has increased, its gaming revenue has decreased with a 5.6% decline in January, following the 2% drop since last December.
According to Hou Fai, the city's heavy reliance on the mainland tourist market warrants closer scrutiny in the future, especially as it struggles to diversify beyond the gaming industry. The Chief Executive has also mentioned that the imbalance in the government’s tax revenue and the lack of innovation have also caused this major issue.
Niall Murray, Chairman of Murray International Group (Macau) Co. Ltd. expressing his skepticism about Macau’s shift toward non-gaming initiatives. via the asean gaming summit.
Back at the panel discussion event, Niall Murray, Chairman of Murray International in Macau, has said that Thailand’s effort to legalize gambling has been years in the making and that ignoring it will have major consequences for Macau. “Once the law is passed, actions will come very rapidly,” Murray said. “Some of the biggest families and corporations in Thailand already have well-developed plans.”