Thailand is not ready to legalise its gambling habit

The Government Lottery Office’s director, Wanchai Surakul, recently mooted to a group of reporters the idea of building a casino in the northeast of Thailand. He had brought the journalists in his entourage to Macao to see how the casino business has contributed to the wellbeing of the people of that island. 

Wanchai was also quoted by the reporters as saying that the prospective casino project would create “a balance for Thai society because now our neighbouring countries all have casinos and they can make a lot of money out of it.” 

But if money is the only reason to support this proposal, it is surely not enough to convince the majority of the public that Thailand also needs a casino.

First of all, we don’t need a casino simply because our neighbours have them. Why should we have to imitate others to earn more money? Small islands such as Macao may not have many choices but to lure tourists and gamblers by legalising casinos. They do not have the natural assets that we have. Thailand has much more potential to further develop its tourism industry in a sustainable manner. 

Secondly, the more important question to ask is what does the Government Lottery Office plan to do with the additional revenue it hopes to earn from the prospective casino? Would the expected benefit really make it a viable project? 

There is also the question of whether the cost of a huge casino project, including the social cost, would surpass its benefit. Only then would it be easy to decide whether Thailand needs to have a casino or not. 

The reason given by the GLO chief that Thailand should have a casino only because other countries already have them is plainly the wrong answer. It is unconvincing and in no way proves the necessity of building such a facility here.

The other issue to be considered is whether Thais in general would be able to resist the temptations of legal gambling when it is no secret that many are already addicted to illegal forms of gambling. Advocates for the casino may argue: what’s wrong with people going to relax at a casino and spending their money as they wish during their leisure time? Of course, there’s nothing wrong with people with a sensible financial outlook wanting to spend some of their disposable income on such a leisure pursuit. But the question is whether the majority of us are equipped with such financial literacy. In reality, many Thais desperately wait for the fortnight lottery results, many are already addicted to gambling, and many squander their money on gambling in the false and unlikely hope they will win the big prize.

Additionally, how can we be sure that law enforcement in Thailand will be strict enough to protect the vulnerable from yet another readily available vice? Casinos are often associated with other negative spillover activities and crimes. How will we mitigate the effects of these issues?

Even now, with gambling officially an illegal activity, illicit gambling dens are located under the noses of most police stations in Thailand. Politician Chuvit Kamolvisit’s recent expose of illegal gambling dens in Bangkok brought some reaction from the police, but their “clampdown” was seen simply as a publicly stunt by almost everyone. No one seriously believes that illegal gambling dens will ever be eradicated. A legal casino would not wipe out illegal gambling activities either. 

Instead of focusing on how to extract money from gamblers, the authorities should instead consider how a casino would fit into our long-term development strategy, and what its social cost would be – which is difficult, if not impossible to quantify.