INDOCHINA 22
CAMBODIA
Casinos shuttered on resurgent Covid Up until February, Cambodia was one of the world’s Covid success stories, with very few cases and no deaths. That has now changed, with the government in Phnom Penh struggling to control an outbreak, resulting in the widespread closure of the country’s casino industry.
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he country had reported as few as 500 cumulative cases, when in late February, a pair of Chinese tourists bribed a hotel security guard to escape quarantine and go on a shopping and partying spree across the capital. As of the time of writing, there are now 73,701 cumulative Covid cases and 1,305 deaths. The country’s biggest casino operator, Nagacorp, shut its doors in March. Before the latest closure, the owner of the NagaWorld complex in Phnom Penh had reported business almost back to normal since reopening last July, despite a lack of foreign visitation. According to its Q1 results, the most recently available figures, average daily buyins on its public floor tables and electronic gaming machines, as well as daily bill-ins had a recovery rate of about 99 percent compared to the same quarter a year earlier. It also recorded sequential growth from the second half. Despite its robust recovery, including plans to pay a dividend to shareholders, it was fast to announce layoffs for staff, drawing criticism from union groups. Elsewhere in the country, the Ha Tien Vegas and other casinos in Kampot province have been closed since May 30, after reopening in September last year. Likewise all casinos Poipet and Bavet, which mainly serve cross-border traffic, have also closed. Cambodia temporarily shut its borders with Thailand and Vietnam in early July to slow the spread of the disease. Sihanoukville, the casino cluster on
Asia Gaming Briefings | August 2021
the southern coast, had been an exception with some properties remaining open in a situation one operator likened to “being half pregnant.” The rules relating to entry were highly varied, running from strict temperature control checks at the door and QR code registration for track and trace, through to a paid-for Covid test at the door, with the result available in 20 minutes. Others are restricting casino access to hotel guests only. The source said that casinos that were totally dependent on Chinese players flying in have chosen not to open, while those with a player base among expatriates had. However, that was prior to the most recent tightening at the end of July, which introduced a 9pm to 3am curfew and mandated the closure of businesses across the country. Local Cambodians are not permitted to gamble in the casinos, though many also hold foreign passports. There is also a large expatriate base in the country, with many Chinese businesses having relocated to Cambodia in search of a cheaper manufacturing base. In the case of Sihanoukville, this involves the 11.1 square km Sihanoukville Special Economic Zone, or the Westport Economic Zone. The online business in Sihanoukville also continues to thrive, despite a government ban announced in 2019. Sources have indicated that the businesses are actively hiring for their live dealer operations, although perhaps not as above the radar as previously.
Likewise all casinos “ Poipet and Bavet, which mainly serve cross-border traffic, have also closed.
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