Since the government introduced its casino legalisation policy under the guise of an entertainment complex bill, it has continued to spark debate, with critics arguing the Pheu Thai Party should have never brought it up because the issue lacks public consensus.
With the bill expected to be submitted for parliamentary approval before the legislative session closes in April, intense opposition has arisen, with the criteria for screening entrants a hot topic.
At issue is whether the Thai economy is at a dead end and needs to resort to casino legalisation, which poses social risks and could undermine government stability given the widespread opposition.
Economists and entrepreneurs believe Thailand still has several unique economic engines that could help to stabilise the economy.
E-SPORTS INSTEAD
Nonarit Bisonyabut, a research fellow at Thailand Development Research Institute (TDRI), said while casinos can generate economic activities worth more than 100 billion baht, they also have significant negative social impacts.
He recommended instead focusing on e-sport-style casinos, which align with global trends.
Mr Nonarit said the economic benefits of allowing casinos in Thailand would start with investments during the building phase, benefiting the construction industry and related sectors. However, these would be a one-time boost limited to the construction period.
Once a casino is operational, the government would control licensing, meaning it would collect both taxes and licensing fees from a casino, potentially generating revenue of tens of billions of baht.
Another economic benefit of casino operations is employment of 20,000 to 30,000 people, which would stimulate further economic activities, including restaurants serving casino patrons and various entertainment venues. These activities could generate around 100 billion baht in economic value, he said.
However, Mr Nonarit said these figures do not take into account social costs such as gambling addiction within Thai families.
He said casinos are a form of vice. If foreign tourists come to Thailand to gamble and lose money, it is viewed as paying for entertainment, similar to visiting the beaches.
However, if Thais become addicted to gambling, it can have severe consequences for their families, said Mr Nonarit.
In addition to the impact on gamblers, he said casinos affect the local communities where they are established.
As a form of vice, casinos tend to attract grey- and black-market activities, including human trafficking, prostitution and drug-related trade, which can lead to a significant rise in crime rates in those areas.
"If the government had mechanisms to use casino revenue to address social issues, it might mitigate the negative effects. Currently no such mechanisms have been proposed," said Mr Nonarit.
He said removing the requirement that Thais have at least 50 million baht in their bank accounts to enter a casino would increase the likelihood of Thais entering casinos and gambling.
Preventive measures to restrict Thais from gambling, such as requiring three consecutive years of tax payments and charging an entry fee of 5,000 baht per visit, may deter some individuals to some extent, said Mr Nonarit, but are unlikely to stop determined gamblers.
"If casinos are fully legalised in Thailand, gambling addiction among Thais could increase," he said.
Mr Nonarit suggested the government consider modifying casinos from being purely gambling-based to a competitive format, such as e-sports. For example, poker already has a "World Series" event and this model would have a much lower social impact.
"I would prefer casinos focus on e-sports rather than traditional gambling, as it aligns with global trends and can be broadcast internationally," he said.
Mr Aat says casino development can foster a gambling culture that could lead to other social issues. (Photo: Nattapol Lovakij)
MODERNISING AGRICULTURE
Aat Pisanwanich, an analyst in international economics and advisor on Asean affairs at Intelligence Research Consultant, said casinos are not the only option, as other investments could stimulate Thailand's economic growth.
For example, instead of attracting 100 billion baht of investment for an entertainment complex with a casino, this capital could be redirected to develop modern agriculture that aligns with global trends, said Mr Aat.
This includes catering to an ageing population and health-conscious consumers, investing in sustainable agriculture and carbon-reducing farming practices.
By leveraging the country's strengths and readiness, he said there is potential for further development that could increase value.
Mr Aat said this strategy can be achieved by offering investment incentives that are more attractive than regional neighbours, or by focusing on technology and innovation industries.
He said this approach could enhance the country's production capabilities, creating more than 50,000 jobs.
Educational institutions must adjust their curricula to better support the country's industrial sector, stimulating economic growth and helping to maintain stability, said Mr Aat.
"Investing in a casino is not worthwhile," he said.
While casinos may generate some revenue, they foster a gambling culture that can lead to social problems and leave the structural problems in the country's production sector unaddressed, said Mr Aat.
The country's industrial competitiveness would be neglected if investment focuses on a casino complex, further weakening its ability to compete globally, while development of a skilled labour force would stall, he said.
Pursuing a casino project would mean economic development would lag our neighbours that already operate casinos, leading market competition among Southeast Asian nations, said Mr Aat.
"Legal gambling is not an urgent issue for Thailand. There are many more pressing problems that require immediate attention and investments," he said.
To capitalise on the country's potential, Mr Aat said Thailand must focus on promoting and developing the production sector, aiming to position itself as a centre for modern processed agricultural industries at a global and regional level.
He said this is a unique strength for Thailand, one that other Southeast Asian countries do not have.
Mr Aat identified several promising areas for development within processed agriculture: industries that use water-saving technology; innovative processing methods; low-carbon processed agricultural products; zero-waste processed agricultural products; "future food" processing industries; the creation of products that can replace imports, particularly essential ingredients; and the development of new high value-added products.
Regarding the proposed casino entrance fee of 5,000 baht, he said the low amount might encourage Thais to gamble.
Mr Aat said he is worried Thailand could become a gambling society, slowing other developments if the future of the country revolves around gambling.
If the current proposal of 50 million baht in accounts for casino entry is replaced by a rule that Thais submit three years of tax returns, it would reflect the government's intention to attract customers to casinos, making it easier for Thais to gamble legally, he said.
STRICT CONTROL
The highly charged debate to build a casino as part of an entertainment complex should have regulations for the gambling business to prevent negative impacts, said Suphan Mongkolsuthree, chairman of Synnex (Thailand), a supplier of computers and IT products.
While he agreed with the government's proposal to use an entertainment complex to attract tourists, Mr Suphan, also former chairman of the Federation of Thai Industries, said the push for Thailand's first casino must be done carefully.
"Legalising a casino requires thorough consideration. We need regulations to prevent an impact on young people, society and the nation," he said.
"I am afraid if we do not have strict laws, we will receive more bad than good outcomes."
The government's move to develop a casino business has drawn fierce opposition from social advocates who are worried about the impact on Thai morality.
Economist and former Bangkok senator Chermsak Pinthong earlier questioned the "inspiration" behind the government's decision to build a casino, according to media reports.
Economically, gambling is not considered national income because it is a transfer of money from one person to another, and has nothing to do with manufacturing of products, he said.
"This means people's revenue will remain the same," said Mr Chermsak.
"I do not understand how gambling will increase national income."
The government needs to develop new projects to drive and strengthen the Thai economy, but it must carefully consider whether it should push ahead with projects that will cause controversy and conflicts, said Mr Suphan.
Critics are concerned government gambling proposals still lack mechanisms to use casino revenue to address social issues. (Photo: Varuth Hirunyatheb)