Singapore’s casino industry is facing new competition from Japan and Thailand as the Osaka casino in Japan nears completion and Thailand expresses interest in developing its own casinos. The MGM Casino in Osaka is expected to have a significant impact on the two integrated resorts in Singapore, according to a report by a former casino executive in Singapore media Channel News Asia. The brand new casino in Osaka, which cost approximately RM35.5 billion to build, aims to earn RM17.1 billion in annual revenue, which is double the revenue of Genting Singapore in 2019.
Meanwhile, Thailand is also promoting its casino plan after the general election in May, which may bring more pressure on the casinos of neighboring countries in the Asia-Pacific region. Thailand’s strong tourism industry may also benefit from the establishment of casinos.
The two existing casinos in Singapore, Genting Singapore and Marina Bay Sands Hotel, are facing external competition from Japan and Thailand as well as internal challenges from tightening domestic policies. The exclusive casino operation rights of Genting Singapore and Marina Bay Sands Hotel will end in 2030, and higher requirements may be put forward by the authorities to maintain their status as top casino resorts.
In response, the integrated resorts in Singapore’s neighboring countries are actively expanding. However, the report also raised questions about Genting Singapore’s succession plan, as the issue of succession is expected to be put on the agenda in 2030 when Genting chairman and CEO Tan Sri Lim Kok Thay will be 80 years old.