Casino: Beware of the mistakes of golf.

During the discussion of the draft regulations on casino business operations on April 17th, most members of the National Assembly expressed the view that a decree should be issued for this sensitive business sector.

The business of gambling in general, and casinos in particular, in Vietnam is not new. In fact, as early as 1992, the Government piloted the operation of casinos in Do Son (Hai Phong). This is a business sector that is not encouraged, so according to Minister of Finance Dinh Tien Dung, over the past 20 years, only 7 enterprises nationwide have been licensed to operate casinos.

These include 5 small-scale projects (approximately 15 gaming tables and 80 gaming machines per business), 2 large-scale projects in Quang Nam that have been approved in principle by the Prime Minister, and the Ho Tram Project in Ba Ria - Vung Tau (a complex of restaurants, hotels, meeting and shopping facilities with a total investment of 4.2 billion USD, a total of 180 gaming tables and 2,000 gaming machines, with phase 1 currently completed with 90 gaming tables and 1,000 gaming machines).

“Casino businesses catering to foreigners and overseas Vietnamese have contributed to attracting tourists, creating jobs, and increasing budget revenue for localities where these businesses operate. In 2012, the revenue of the five operating casinos was approximately 930 billion VND, contributing about 254 billion VND to the state budget. Each casino business employs 200-500 people directly. The Ho Tram project alone is expected to create approximately 2,200 jobs when it becomes operational,” Mr. Dung said.

Undeniably, casino operations have contributed to attracting tourists, creating jobs, and increasing state budget revenue, especially as this is a sector that has been and continues to attract the attention of foreign investors. Therefore, most members of the National Assembly Standing Committee expressed their agreement on the need to issue a decree on casino operations to legalize and strictly manage this activity.

Given the situation where many Vietnamese people go abroad to gamble in casinos in Cambodia, Singapore, Macau, etc., leading to a drain on foreign currency and causing many social consequences, the Chairman of the Finance and Budget Committee, Mr. Phung Quoc Hien, proposed expanding the categories of people allowed to participate in casino gambling.

“The Ministry of Finance is studying the possibility of piloting a program allowing Vietnamese citizens who meet strict and specific conditions regarding income thresholds, personal background, etc., to participate in casino gambling at establishments located in the Van Don Special Economic Zone. After the pilot period, a review and evaluation will be conducted to consider whether to expand the eligibility to include Vietnamese citizens at other casino establishments,” Mr. Hien proposed.

According to Mr. Phan Xuan Dung, Chairman of the Committee on Science, Technology and Environment, many people go to casinos not only to participate in "games of chance" but also for entertainment, recreation, and stress relief. Casinos are also places where many "tycoons" discuss business and sign contracts... Therefore, it is also worth considering allowing certain eligible Vietnamese citizens to participate in casinos in special economic zones, starting with Van Don and potentially expanding to Phu Quoc later.

There are 124 countries and territories worldwide that allow the operation of casinos in particular and electronic games in general. Even Singapore – one of the countries with a rather strict legal system regarding sensitive business sectors – opened its doors to the casino industry in 2006, and they have proven quite successful in attracting tourists and foreign investment.

"Therefore, we also need legal regulations to govern this sensitive business activity. We don't encourage it, but we must also have an open mechanism to attract strategic investors in building special economic zones," said Vice Chairman of the National Assembly Uong Chu Luu.

However, according to Mr. Luu, this is a sensitive business sector, so most countries limit the number of casinos, the types of participants, and the locations of operation. Even in the United States, which accounts for 52% of total global casino revenue, not all states allow this sensitive business sector.

"We're not banning them, but we must have strict regulations to control casino business operations, the types of casino participants, and the number of casinos. The conditions for establishing a casino must be much higher than those for other entertainment businesses. Otherwise, this sector will follow the same path as the golf course business, which has already cost us dearly," Mr. Lu warned.

According to VOV