A snap election will be held in Japan on Sunday. Apart from the fact that Japanese people will cast their votes for the economic reforms that Prime Minister Shinzo Abe proposed, they will also be asked to state their opinion on legalization of casinos in the country. It turns out, however, that locals are not particularly aware of the latter.
Abe is the strongest proponent of casino legalization in Japan. He is keen on the development of the so-called integrated resorts. According to him, they will most certainly boost local economy. And due to this, the matter has been discussed for more than a year now.
According to Abe, economic benefits that casino legalization might bring to the country are more than obvious. Major gaming operators such as Wynn Resorts and Las Vegas Sands have expressed interest in investing a total of $10 billion in Ginza resorts. Experts believe that legalization might allow the initial establishment of two or three integrated resorts in Tokyo, Osaka, and some other densely populated cities. In addition to this, up to ten more might be built in the years to come. Thus, thousands of new jobs will be created.
Similarly to Singaporean integrated resorts, Japanese ones will offer various non-gambling options, as well. Tokyo will be hosting the 2020 Summer Olympics, so it will certainly need new hotel rooms and other tourist amenities.
Marketing expert Aya Kudo pointed out that although Tokyo is one of the biggest cities in the world, it does not have a “proper convention center.” By comparison, Singapore has one of the most spacious convention centers in one of its integrated resorts. Its other IR can boast of the second biggest aquarium in the world, the only Universal Studios theme park in Southeast Asia, and numerous other attractions.
As for potential Japanese casinos, they are expected to generate turnover of more than $40 billion a year. Thus, Japan will become the third largest gambling market in the world, following the United States and Macau.
According to analysts, even if the market is only half as big as predicted and a 20% tax is imposed on gambling revenues, casinos will grant at least $4 billion to local government. The money will certainly help for the budget deficit to be cut.
Although the benefits that gambling venues will bring to the country are more than obvious to Abe, Japanese people do not seem well-aware of them. According to Paul Bromberg, CEO of Spectrum Asia, proponents of integrated resorts have failed to “educate” the public about the advantages of casinos.
It seems, however, that the majority of Japanese people are not likely to oppose casino legalization. After all, horse racing, pachinko, and other gambling activities are quite popular in the country. Yet, Prime Minister Abe and all supporters of the introduction of integrated resorts in Japan need to provide the public with good reasons to vote in favor of the proposed legislation.
