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It’s no secret that the Japanese online casinos are thriving. Now that the new offline casino regulations are on the verge of being implemented, the general public is bound to take notice, which is great news for the country’s gambling industry in general. So with this in mind, let’s explore where things are headed in the foreseeable future.
Attracting foreign investment
With almost two decades in the making, the bill faces one last roadblock to overcome; namely, the government’s concerns with gambling addiction. Even so, it’s in the nation’s best interest to attract foreign investment by utilizing the power of Japanese online casinos and its offline counterparts alike.
The rise of integrated resorts
Under the new law, the so-called “integrated resorts” will see the light of day; these will integrate hotels, conference, and entertainment facilities. This strategy of drawing in additional foreign interest was first observed in the US (and recently in Singapore as well), and Japan’s economy is bound to be boosted by following in its footsteps.
Japan stands to become the world’s second biggest gambling market
Currently, the crown belongs to Macau. If everything goes as planned and three integrated resorts become operational in the years to come, Japan’s casino market would grow to a rough estimate of $16 billion, effectively positioning it in the second place.
Will the locals carry the torch?
Despite targeting foreign tourists and investors, Goldman Sachs, a global investment firm, believes that the locals will make up for more than half of the Japanese casino crowd. This is in contrast with other Asian gambling markets where the locals typically represent the minority segment.
Responsible gambling remains to be emphasized by the government
A concerning 3.6% of Japanese adults suffer from gambling addiction and the last thing the government wants to do is to pour more gasoline on a fire that’s already raging wild. This is clearly illustrated by the nation’s global pachinko craze (the local version of slots) that brings in a turnover that is 30 times as large as the one in Las Vegas.
Since the main payout does not come in the form of money, however, the game remained outside of the gambling classification for a long time. With that being said, it all changed in 2018 when it was recognized as such.
What other changes will the new law introduce?
Apart from integrated resorts, other changes are on the horizon, one of which is the government’s ability to collect a 30% tax on casino games. This will ensure that the government coffers get the funds necessary to fund other projects.
The future of gambling in Japan looks bright indeed
In the end, the final fate of Japan’s gambling depends on how well the general public will accept it. Right now, rough estimates is all we have to work with; the rest will be revealed in the near future. But given the fact that gambling is so prevalent among the locals even in the present times, it’s likely that the extra push that will come in the form of tourism from abroad is the only missing piece of the puzzle.
