Growth seen slowing as competition rises

The Philippines is expected to be one of the strongest growing gaming markets in Asia again in 2017, driven by another major opening in Manila’s Entertainment City, however growth is expected to slow over the longer term in the face of greater regional competition. According to Fitch Ratings, the opening of Universal Entertainment’s $2.4 billion Okada Manila should help drive a high single-digit increase in gaming revenue in the country this year. But the firm sees signs the market is maturing, especially in the greater Manila area. “We expect high single-digit gross gaming revenues in 2017 driven by the opening of the $2.4 billion Okada Manila and the continued economic growth in the Philippines. Longer term, competition from Macau and other Asia Pacific countries will restrain growth,” Fitch said, noting that junket-sourced VIP business makes up about one-third of gross gaming revenues. The Okada Manila will be the third resort to open...

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