Summary of Asia’s emerging gaming markets
While Vietnam looks positive, Philippines executive seen as unstable
With the third annual ASEAN Gaming Summit less than three weeks away, where part of the event’s conference schedule will be dedicated to updates on developments in gaming jurisdictions across Asia, from Japan and Korea through to India and Nepal, here are some of the ups and downs in these emerging markets.
For instance, in Southeast Asia “the regulatory risk outlook for Malaysia and Singapore is seen as low this year,” report Rosalind Wade & Luis Pereira, Managing Directors of Asia Gaming Brief, “though the Philippines will continue to present severe challenges for operators from a risk perspective. Analysts say the weak rule of law and a mercurial president may create headwinds for further expansion in what has been one of Asia’s best-performing markets.”
While in Indochina, “Vietnam is seen as holding the most potential in the region, moving ahead to implement a stable regulatory framework. Cambodia on the other hand has seen explosive growth but still has not put legislation into place that would provide adequate protection for large-scale overseas investors. Most of the markets in the region are dependent on gamblers from either China or Thailand and ultimately analysts say this may prove a significant issue as competition mounts”, sum up AGB.
Despite regulatory uncertainty and a relatively high-risk profile, land-based operators will be closely watching developments across the Indochina region over the coming months. Cambodia, Vietnam, Laos and Myanmar offer varying degrees of opportunity for operators keen to invest in the region.
“Southeast Asia is a hot market at the moment with lots of new development, especially in Vietnam and Cambodia,” adds Stephen J. Karoul, president and CEO of boutique casino consulting company Euro-Asia Consulting, LLC.
These markets, however, are not without significant political and operational risk. Perhaps the most appealing of the four is Vietnam, which has the greatest likelihood of moving towards a contemporary model of casino regulation and is certainly likely to elevate the standard of compliance above that of the other emerging jurisdictions around it.
