Thailand is set to submit the Entertainment Complex Act to the Cabinet later this year, with parliamentary discussions anticipated in early 2025. However, experts caution that while these developments could bring potential benefits, they also carry significant risks.
The proposal aims to revitalize the economy and boost the tourism sector. The government believes that introducing casinos will enhance tourism and create job opportunities for Thai citizens, ultimately fostering economic growth.
Critics argue that casino gambling conflicts with traditional Buddhist values and could exacerbate organized crime.
Julapun Amornvivat, the Deputy Finance Minister, noted that a public study on the potential opening of entertainment complexes has been completed, revealing that 82 percent of participants supported the initiative during public hearings.
According to Voice of America, James Warren, a lecturer at Mahidol University International College, pointed out that the government has long sought to legalize casinos. He referenced previous proposals, including those made during Thaksin Shinawatra’s tenure as prime minister.
Warren explained that proponents believe casinos could reduce corruption, diminish the underground economy, generate jobs, attract investment, and increase tax revenues. The latest proposal aligns with the Pheu Thai government’s goal of formalizing the underground economy.
Currently, most forms of gambling are illegal in Thailand; however, illegal gambling dens persist, with authorities regularly conducting raids. Despite the ongoing crackdown, various administrations have expressed interest in establishing legal casinos. Thaksin Shinawatra’s recent speech outlined a plan to boost the economy, which included investments in entertainment complexes.
Warren highlighted that the primary aim of the proposed casinos is to enhance tourism, particularly to attract Chinese visitors who contributed significantly to Thailand’s record 40 million tourists in 2019. Of that total, 11 million were from China. This year, more than 5.2 million Chinese visitors have already come to Thailand, with projections suggesting a total of 8 million by year-end.
Enhancing tourism appeal
Tourism analyst Gary Bowerman emphasized that Thailand’s casino initiative is part of a broader strategy to enhance its tourism appeal. He noted that integrated resorts can diversify visitor experiences by blending luxury accommodations, entertainment, dining, shopping, and lifestyle elements—all financed by casino revenues.
Given Thailand’s larger geographical size compared to its regional competitors, officials aim to distribute these resorts across key destinations, including Bangkok, Chiang Mai, and Phuket.
Tourism is crucial for Thailand’s economy, especially as growth forecasts remain modest at 2.4 percent for 2024, according to the World Bank. The government is targeting 36 million visitors this year, with ambitions to reach 40 million by 2025. However, there are concerns that casinos could lead to increased criminal activity, particularly given the proliferation of casinos in neighboring countries like Cambodia, Laos, Myanmar, and the Philippines.
The UN Office on Drugs and Crime has reported that casinos in the region can facilitate cyber fraud, which is already a significant issue in Southeast Asia, leading to billions lost to online scams. Experts worry that Thailand could experience similar challenges. Warren noted that past criticisms of casino proposals during Thaksin’s administration highlighted concerns over gambling’s compatibility with Buddhist principles, as well as fears of encouraging problem gambling and associated crimes.
Political headwind
Newin Chidchob, a prominent figure in Thai politics, has firmly rejected Thaksin Shinawatra’s proposal to legalize casinos. Newin has stood firm in his opposition, primarily concerned about the potential social and economic risks that legalized casinos could bring, such as increased debt and addiction among Thai citizens.
Newin’s opposition isn’t against the broader idea of developing entertainment complexes. He appears open to the concept of such projects, provided they exclude gambling activities.
