Vietnam's Ministry of Finance recently proposed a significant increase in the daily betting limit for legal international football gambling, from the current 1 million Vietnamese dong (38 USD) to 10 million Vietnamese dong (380 USD), a tenfold increase. This adjustment is part of the draft decree for new regulations on horse racing, dog racing, and football gambling in Vietnam, intended to replace the regulations enacted in 2017, reflecting the country's significant per capita income growth and the standardized management of the gambling market.
Main Content of Policy Adjustment
The new draft decree proposed by Vietnam's Ministry of Finance will increase the daily betting limit from the current 1 million Vietnamese dong (38 USD) to 10 million Vietnamese dong (380 USD). This adjustment applies to all betting categories, including horse racing, dog racing, and football gambling.
Unlike the current framework, which allows individual limits for each betting category, the new draft stipulates a shared total limit for all categories. Considering that each match typically includes 10-15 betting categories (such as scores, goals, red and yellow cards, and corners), this change will significantly increase betting flexibility.
Reasons for Adjustment and Economic Background
The Ministry of Gambling Industry and Tourism in Vietnam pointed out that since 2016, Vietnam's per capita income has increased by 1.8 times, reaching about 4700 USD. This economic growth is the main reason for increasing the betting limit, aiming to keep the betting limit in reasonable relation to the national income level.
Despite the increased limit, the minimum bet remains unchanged at 10,000 Vietnamese dong (0.38 USD). This arrangement aims to accommodate income growth while maintaining measures to curb excessive betting.
Participant Conditions and Account Management
The new draft imposes stricter conditions on participants. Bettors must be at least 21 years old, have full civil capacity, and open a dedicated account with a licensed gambling company.
All transaction operations, including betting, payment, and payout, will be processed through these accounts. This centralized management approach helps strengthen identity verification and compliance monitoring, preventing money laundering and illegal betting activities.
Scope of Events and Betting Restrictions
Gambling activities will continue to be limited to events recognized by FIFA or international esports competitions. Typically, only four to eight international events qualify for betting each year, with each event lasting 10 to 30 days.
This limited scope of events has been a focus of the industry, as operational and licensing costs are high, and limited betting opportunities make it difficult for operators to profit.
Operator Permissions and Copyright Requirements
Licensed gambling operators will be able to offer a variety of betting categories, from match scores to tournament rankings, based on their business models and regulatory approvals. Operators must purchase the rights to match schedules and results from FIFA or its affiliated institutions.
It is worth noting that events organized by the Vietnam Football Federation are not within the betting scope, maintaining consistency with FIFA's copyright rules.
Supporting Measures and Pilot Program
The draft also proposes allowing online betting considering time zone differences and relaxing advertising restrictions, allowing licensed operators to display logos and promotional content on their websites. These measures aim to enhance user experience and operators' market promotion capabilities.
Given the social risks associated with gambling, the Ministry of Finance suggests implementing a pilot program for international football gambling, operated by a licensed operator for five years. This gradual approach allows authorities to assess the social impact and market response to the new policy.
Background and Expected Impact
The Vietnamese government has recently intensified its crackdown on illegal gambling networks, with estimated cases involving billions of dollars. The introduction of the new draft highlights the urgency of providing legal, regulated gambling alternatives.
Analysts believe that these reform measures may help reduce illegal gambling activities, attract formal investments, increase national fiscal revenue, and provide players with a safer, more regulated gambling environment. The implementation of the pilot program will provide important references for comprehensively assessing the policy's effects.
