Tourism firms shun gambling risk
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Tourism firms shun gambling risk

Legal casinos could spook Beijing

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Tourists visit a Buddhist temple in Bangkok. Tourism operators are anxious the Chinese market will shrink if gambling is legalised. (Photo: Varuth Hirunyatheb)
Tourists visit a Buddhist temple in Bangkok. Tourism operators are anxious the Chinese market will shrink if gambling is legalised. (Photo: Varuth Hirunyatheb)

Tourism operators are warning the Chinese market could significantly decline if Thailand legalises casinos and online gambling, after the issue was raised during the censure debate against Prime Minister Paetongtarn Shinawatra on Monday.

The opposition People's Party argued that legalising casinos was never included in the Pheu Thai Party's campaign pledges. The policy puts the Thai tourism sector at risk if China discourages its citizens from visiting Thailand as a result of legalised gambling, noted the opposition.

MP Parit Wacharasindhu said the government continues to eagerly push this project, though it acknowledged Beijing has consistently curbed the number of outbound Chinese tourists seeking gambling overseas. This move already affected destinations that have legal casinos, such as Singapore, the Philippines and Macau.

"We learned during the prime minister's official visit to China last month President Xi asked her three times about the casino policy. This should raise questions about whether this policy creates risks, as it might prompt the Chinese government to adjust policy, making travel to Thailand more difficult," he said.

Sisdivachr Cheewarattanaporn, president of the Association of Thai Travel Agents, said the association discussed these issues with Chinese authorities many times and they have always expressed unease over legalising cannabis and the upcoming entertainment complex bill, which legalises casinos.

He said the Chinese government may indeed restrict the number of travellers to Thailand if the country legalises casinos, as Beijing considers these businesses as facilitating money laundering.

In December 2024, President Xi instructed Macau during his three-day visit to continue its economic diversification, improving policy support and investment to cultivate new industries.

Macau's economy is largely reliant on revenue from legal casinos, and it was affected in recent years after the Chinese government cracked down on money laundering, implementing policies to curb the number of Chinese visiting Macau for gambling.

The proportion of Chinese visitors in Macau dropped from 91.4% in 2021 to 89.6% in 2022 and 67.5% in 2023, before rising to 70% last year.

Meanwhile, the Philippines recorded only 312,222 Chinese tourists in 2024, accounting for 5.25% of total arrivals.

Mr Sisdivachr said while the entertainment complex is expected to generate lots of revenue for Thailand, Beijing is concerned about weak law enforcement and the tendency for corruption loopholes, which the nation considers a serious issue.

"Legal casinos are a common practice in countries that want to lift their tourism sector. However, the Thai tourism industry would be fine if we do not adopt this kind of business," he said.

"We still view this policy as creating more risks than opportunities for the industry."

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