At the beginning of 2025, Thailand has been continuously presenting major events. First was the "Wang Xing crisis," followed by the "tourism exodus."

On January 13, before Thailand could resolve its PR crisis, the cabinet under Prime Minister Pei Tongtan took a significant action.

They approved a draft law on the legalization of casinos and gambling—the "Comprehensive Entertainment Center Act," also known as Thailand's "Casino Law."

According to Pei Tongtan, this bill aims to enhance national competitiveness by promoting tourism and economic development.

PASA has organized some of the draft's content for review:

According to the draft, Thailand will allow casinos within large entertainment complexes, which also include hotels, convention centers, shopping malls, or theme parks.

The casinos will be open to individuals over 20 years old, with Thai citizens required to pay an entrance fee of 5,000 Thai Baht, while foreign tourists can enter for free.

The government expects that this move will attract more investments, address illegal gambling issues, and generate significant revenue for the tourism industry.

It is estimated that the legalization of casinos could increase the number of foreign tourists by 5% to 10%, boost tourism revenue by about 120 billion to 220 billion Thai Baht (approximately 3.45 billion to 6.32 billion USD), and create about 9,000 to 15,000 new jobs.

Additionally, the draft stipulates that casino licenses will be valid for 30 years, with evaluations every five years and the possibility of a 10-year renewal. The initial license application fee is 5 billion Thai Baht, with an annual fee of 1 billion Thai Baht thereafter.

The draft also prohibits online gambling and imposes strict restrictions on casino advertising and promotional activities to prevent inducement.

It is important to note that this draft still needs to be discussed and voted on by the parliament before it can officially become law.

What impact on Cambodia?

As an important neighbor of Thailand, this move could have profound effects on Cambodia, especially in the economic and gambling sectors.

Cambodia has long relied on the gambling industry as a crucial pillar of economic development, particularly in border areas such as Poipet and Banteay Meanchey Province, where casinos primarily serve Thai tourists.

With the legalization of casinos in Thailand, many Thai tourists might choose to entertain themselves domestically, reducing the demand for visits to Cambodia. The legalization could also attract more international tourists to Thailand, putting greater competitive pressure on Cambodia.

Together, these factors could directly impact the revenue of Cambodian casinos, especially those at the border.

Besides, the casino industry is a significant economic pillar in the Cambodian border areas, providing many local jobs. The legalization of casinos in Thailand could lead to a decrease in customers, thus weakening the economic vitality of these areas and threatening job stability.

Opportunities amidst challenges

In summary, the legalization of casinos in Thailand is undoubtedly a turning point for the Southeast Asian gambling market, presenting both challenges and opportunities for Cambodia.

Facing competitive pressures, Cambodia needs to take proactive measures by improving service quality, optimizing policies, and strengthening regional cooperation to maintain its significant position in the regional gambling market.

At the same time, this also provides Cambodia with an opportunity to reposition its gambling industry development from a traditional border market to a broader international market, attracting more tourists and investors.

In the context of intensified regional competition, Cambodia's future development path is worth continuous attention.