Large new gaming markets are “attractive and additional” to global gross gaming sales (GGRs), with the UAE and Thailand expected to generate at least $7 billion in GGR once casino gaming becomes legal in both jurisdictions.
Investment bank Morgan Stanley said in a report titled “Global Game: Periodic Bottom, Attractive Yields, New Markets” on Thursday.
“For Thailand and the United Arab Emirates, we expect a GGR of around $3 billion to $5 billion respectively,” the agency said. “Investment capital returns may be attractive for tax cuts, but there is still a lot to the end yield,” it added.
The report said the large new gaming market is “attractive based on historical returns” and “tends to offer temptations for growth for years.”
“We believe markets like Japan, Thailand and the United Arab Emirates could potentially add tens of billions of dollars in GGR.”
It also said: “Historically, the impact of new gaming markets encroaching on existing gaming markets has been limited. Singapore, for example, opened two casinos in 2010 and saw revenues reach $6 billion in 2011, while Macau saw revenues increase by $9.9 billion (+42% year-over-year) in 2011.”
In July, the website of UAE gambling regulator General Commercial Gaming Regulatory Authority (GCGRA) opened to the public, also announcing the UAE’s first lottery license.
“The UAE believes it can generate between $3 billion and $5 billion in annual GGRs based on visit traffic and population. But that depends on whether locals are allowed into casinos,” Morgan Stanley noted. 바카라사이트 추천
It also added: “The UAE has the most flights arriving in the world, more five-star hotels than Singapore, and we believe it has potential as ultra-high wealth earners are growing fast.”
The main supply markets for the UAE casino industry “will be Western Europe and South Asia, although geopolitical risks may be a key risk to growth and valuations,” according to the bank.
However, while the UAE “finally could have more integrated resorts (IRs) than Singapore,” the agency noted the total number of licenses “has not yet been determined”.