Thailand’s ruling Pheu Thai Party has defended its casino-entertainment complex project, asserting it will legalize underground gambling activities, allowing the government to benefit from the tax revenue.
A statement on Pheu Thai’s webpage, released on Saturday, claimed that legalizing underground gambling and taxing the project could contribute over 50% to GDP. This revenue boost is expected to support economic growth and fund educational development, among other initiatives.
The party described casino entertainment complexes as gateways to accessing the lucrative “fun” economy, which is estimated to be worth US$13.7 trillion.
This initiative aligns with the Pheu Thai-led government’s policy statement, which was detailed by Prime Minister Paetongtarn Shinawatra in parliament on September 12.
“Over the past 20 years, efforts have been made to legalize economic transactions that are deemed illegal, but they failed because many in society were not open to such ideas. However, in recent years, past and current governments have studied the possibility,” the statement said.
According to a report by the House committee, sectors like tourism, sports, and entertainment—including the MICE industries—show steady growth within the fun economy.
The global market value of the fun economy is roughly US$13.7 trillion (about 483 trillion baht), and the government aims to tap into this to enhance national income. “One of the strategies is to legalize and tax casinos properly,” according to the party.
Fiscal Policy Office figures cited by Pheu Thai indicate that in 2022, the global business value of casino-based entertainment complexes was US$1.5 trillion (53 trillion baht), with projections to increase to US$2.2 trillion by 2028.
The government is advancing a bill to legalize casino operations within these entertainment complexes.
Government sources state that the Finance Ministry has completed drafting the Entertainment Complex Act, which will be subjected to a public hearing as mandated by Section 77 of the constitution.
After the hearing, the feedback and bill will be submitted to the cabinet for consideration.
The bill includes 65 sections and mandates that an entertainment complex must secure a license valid for up to 30 years.
Operators are required to pay 5 billion baht for registration, with an annual fee of 1 billion baht. Licenses will be reviewed every five years, and after 30 years, they can be renewed for an additional decade.
The proposed law restricts individuals under 20 from entering such venues, which are open to all foreigners, though Thai citizens must pay a 5,000 baht entrance fee.
A policy board, led by the prime minister, will be established under the bill to oversee the regulation of gaming complexes.
Former government spokesman Chai Wacharonke, citing the House committee’s report, stated the project is expected to generate at least 12 billion baht in taxes in its first year.
The House committee has analyzed the economic, social, educational, and cultural impacts of such venues in Thailand, as well as their business structure, revenue collection, and the legal framework for entertainment and gambling.
Potential locations for these venues include two in Bangkok and one each in the Eastern Economic Corridor, Chiang Mai, and Phuket.
However, opposition spokesman Pariyes Angkurakitti from the Thai Sang Thai Party criticized the project, voicing concerns that lax law enforcement could complicate the regulation of the new casino industry.
