Gambling in Singapore
Singapore is a city-state in Southeast Asia that has long banned gambling. Today, the gambling business in Singapore is only partially legalized. The legislation defines provisions that allowed several operators to organize the work of land-based casinos and online bookmakers. At the same time, the government imposes rather severe restrictions on both the provision of services in the gambling industry and their use. That, however, did not prevent Singapore from gaining the status of the third largest gambling zone, after Las Vegas and Macau.
The History of Gambling in Singapore
Gambling in Singapore was legalized in 1823. At that time, the city was a colony of Britain - a country that allows participation in gambling. However, the permission was short-lived. After just three years, almost all types of gambling were banned. The exception was the government lottery Singapore Pools.
This situation continued for several decades. The economic crisis that broke out in the country at the beginning of the 2000s forced the government to reconsider its opinion on this issue.
A new gambling bill was considered in early 2005.
The process of consideration and adoption of the bill was accompanied by fierce discussions and disputes. Representatives of various religious cultures and employees of social organizations opposed the legalization of gambling in Singapore. They noted the likelihood of a negative impact of gambling on the social environment, in particular, the possibility of an increase in crime.
The government pointed to the prospects for the growth of the tourism industry and, as a result, a possible increase in financial revenues to the budget. In 2006, a final decision was made to partially legalize gambling.
The legislative framework was designed specifically for the creation of two large casino resort hotels. The provisions of the laws fixed the licensing system, organized departments, whose tasks include the control and regulation of the activities of gambling establishments, defined restrictions and prohibitions.
The largest casinos in Singapore
It took five years to build, equip, organize the activities of the first casinos in Singapore. In 2010, two prestigious establishments were opened at once:
Casino Resorts World Sentosa - the largest gambling and entertainment complex in the country was built on the island of Sentosa. The territory of the complex occupies more than 15 thousand sq.m. The casino has over 1,000 tables and over 2,500 slot machines. Guests are offered the opportunity to check into comfortable hotel rooms, visit water parks, an amusement park, a museum
Marina Bay Sands, built on the coast of Marina Bay, opened a few months later. The casino hotel is owned by Las Vegas Sands. The well-known architect Moshe Safdie worked on the design of the institution. The complex consists of three high-rise towers. At an altitude of about 200 meters, a huge infinity pool, a park, an observation deck, and a museum are equipped. More than 600 tables and more than 1,500 slot machines are installed directly in the casino. There are several VIP rooms for high rollers. In addition, a hotel, restaurants, cinemas, bowling, and other entertainment facilities await guests on the territory of the complex.
Both casinos in Singapore are world famous and are in the TOP of the most expensive and prestigious casinos in the world.
Currently, they occupy top places in the ranking of the most expensive casinos in the world. Every year, several million guests come here - fans of gambling. According to statistics, the opening of establishments has increased the tourist flow by almost 30%. And, accordingly, significantly increase the level of profitability of the state.
Current gambling laws in Singapore
Despite the successful development of the industry, the gambling business in Singapore is regulated as strictly as possible and with all possible restrictions. By opening access to gambling in the country for foreign tourists, the government tried to protect its own citizens from gambling.
To date, the gambling business in Singapore is regulated by four laws:
about gambling;
about private lotteries;
about sports betting;
about sweepstakes and bets.
In general, the provisions of these acts rather prohibit the organization of the gambling business and participation in gambling. But with a caveat. Gambling may be permitted by other by-laws.
There is an interesting provision in the legislation of Singapore. To obtain a license to carry out activities in gambling, it is necessary to issue the so-called “exemption from the law”.
Casino Licensing Terms in Singapore
Licensing conditions are spelled out rather intricately. One of the clearest requirements established by the Casino Control Law is the precise designation of the limit on the number of licenses issued - up to two. And both have already been received by the mentioned establishments Marina Bay Sands and Resorts World at Sentosa. In other words, in the near future, as it seems, one should not expect the appearance of new casinos in Singapore.
On the other hand, the Law on Private Lotteries declares that the issues of issuing permits are considered individually in each specific case. CRA, one of the gambling regulators in Singapore, can issue licenses if applicants and their assistants are found to be eligible.
Great attention is paid to the choice of a potential operator. Regulators evaluate applicants on a number of criteria:
whether the applicant and his assistants have a decent reputation;
whether the operator and its partners have sufficient financial resources;
how “transparent” are the sources of origin of funds;
how successful the applicant is in the business field, whether he is able to support the life of the casino;
with whom the potential organizer of the gambling business cooperates;
how worthy is the reputation of the applicant's partners.
Any questions regarding the financial, professional and personal situation of the applicant may be considered. The whole process is accompanied by the provision of a package of documents confirming the accuracy of the information provided.
The CRA commission deals with the consideration of the mentioned issues collectively. The Team of Specialists includes three or more departmental representatives appointed by the Minister.
There is also no clearly established procedure for applying for an exemption from the Act. An appropriate application must be sent to the official responsible for issuing permits. What format should the documents be in? As well as the duration of the license - from 3 to 10 years - is determined by the responsible officer of the department.
Casino visit restrictions
The legislation clearly spells out the prohibitions and restrictions regarding gambling entertainment:
visiting the casino is prohibited for citizens under 21;
foreign persons can visit the casino for free. Citizens of Singapore are required to pay an entrance fee - USD 100 per day for each visit or USD 2000 per year for membership in a particular casino;
visiting gambling houses is not available to people with low incomes or bad credit history;
a restriction on playing in a casino may be imposed at the request of the player's family members. It is allowed to define a specific limit of visits per month;
players can independently write an application to impose a ban on their participation in gambling. It is impossible to withdraw the application before the deadline specified in the document.
In addition, gambling establishments are prohibited from conducting any promotions aimed at attracting customers. The casino security service undertakes to closely monitor the compliance of visitors with current requirements. Operators must file formal reports of any suspicion of breaking the law. Failure to comply is subject to very significant fines.
Singapore gambling regulators
Responsibilities for compliance with the provisions of gambling laws are performed by several departments at once:
The CRA is a regulatory body operating under the Casino Control Act. The agency has the right to issue licenses and regulate any operations in land-based establishments;
The Singapore Betting Council is an organization that controls the activities of the main betting operators: Singapore Pools and Singapore Turf Club;
Ministry of Social and Family Development, National Council on Gambling. Agencies are engaged in activities in the field of minimizing potential problems caused by gambling;
MHA (Ministry of Home Affairs), MAS (Financial Authority of Singapore), MDA (Media Development Authority) - services deal with remote gambling, blocking sites and payments.
According to the government, the division of responsibilities between several departments makes it possible to achieve maximum efficiency in the regulation of the gambling business.
Online gambling in Singapore
The situation with online gambling in the country is much more complicated. Officially, all types of online gambling are banned.
The first attempts to legalize online gambling were made by operators in 2013. However, the government strongly refused to adopt the relevant bill. The authorities have tried to take the most effective measures to close access to online games, including making bets from mobile devices. Among other things, regulators block gambling sites and prohibit payments.
According to the leaders of the country, online gambling can serve as a good way to launder money received as a result of illegal activities. In addition, closing access to online casinos prevents the occurrence of gambling addiction.
In 2015, another attempt was made to legalize online gambling. But with the same result. The Singapore government is pushing for a ban on gambling. However, in 2016, two companies still managed to obtain online licenses. Well-known local operators became licensees: Singapore Pools and Singapore Turf Club. Permission was obtained on the basis of the mentioned “exemption from the Law” scheme.
However, both operators specialize exclusively in organizing lotteries and accepting bets. The possibility of playing table games and online slots on the websites of companies is not considered at the moment.
In addition, companies undertake to comply with the numerous requirements mentioned above:
accept players at least 21 years old;
carefully check the information provided, verify accounts without fail;
refuse to play on credit;
set daily spending limits;
refuse to conduct advertising campaigns;
report any suspicious transactions and changes in behavior to account holders;
fulfill a number of other requirements.
Licenses are obtained by operators for a period of 3 years. The possibility of extending the validity of the documents will be considered based on the results of the work.
Singapore online casino
However, de facto citizens of Singapore have access to online casinos. As government officials explain, tracking down all foreign platforms and blocking access to the site is quite problematic.
Analytical studies conducted among Singapore online casino users show the following results:
at least one third of users play online gambling at least once a year;
58% of visitors to gambling portals are men;
64% are users with an average age of 25-44 years.
Today, visitors from Singapore are accepted by most of the well-known European online platforms. Moreover, international operators advise their Asian colleagues to contribute to the legalization of online gambling by providing relevant recommendations to the government of the country.
conclusions
It is difficult to say how promising the development of the gambling business in Singapore is. On the one hand, casinos bring a very significant income to the state budget - and this is an argument in favor of the development of the gambling industry.
However, in recent years, the inflow of funds from casino profits has fallen by 12%. According to the forecasts of a number of analytical companies, the Singapore government will refuse to renew existing licenses. The reasons for this decision may be the high risks of various social problems and the uncertainty of the prospects for the tourism market.
Singapore casino licenses expire in 2017. And the further development of the gambling business largely depends on the final decision of the authorities regarding the issuance of new permits.