Chance of third casino license in Singapore a pipe dream, expert says

The chance of Singapore’s government allowing more competition in its casino industry when the current duopoly ends in 2017 is extremely remote amid increasing concern about problem gambling, an expert on the market said at a Macau Gaming Show panel session.
Wai-Ming Yap, a director of Stamford Law Corporation, said all the recent actions on the part of the Singapore government pointed more to a desire to reign in the industry rather than allow further expansion.
“They will never, never open a third license, that remains a distant dream,” he said.
He pointed to the increasing length of time it was taking the government to approve the renewal of licenses for gaming supply companies, with applications languishing for a year and a half, or not being approved.
“They are putting up obstacles and over time they will lose out,” he said.
The government is also putting caps on the interest licensed money lenders can charge to locals seeking credit, amid signs residents are increasingly turning to pawn shops and credit to fund gambling binges.
Money lenders had been charging as high as 15-20 percent a month in interest and that is now likely to be capped at 4 percent. And lastly, the government also passed a draconian bill outlawing all internet gambling.
“If you look at all these issues, the government is trying to stop gambling. Elections are coming up and the opposition is saying gambling is an issue,” he said.
David Green, founder and chairman of Newpage Consulting, agreed saying that the issue of social protection is rising to become one of the top concerns when governments around Asia consider how to regulate their markets.
After opening up to casinos, Singapore now “appears to be trying to put the genie back in the bottle,” he said.
Las Vegas Sands and Genting Singapore were granted 10-year exclusive licenses to run their Marina Bay Sands and Resorts World Sentosa properties on low tax rates.
While they are unlikely to face more competition once those permits expire, Wai-Ming said the government may seek to raise taxes.