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Japanese casinos likely to be delayed again
Japan has been working on the opening of casino hotels in its territory for a very long time now. Over time, the project has already been delayed enormously.
It would seem, however, that we will have to be a little more patient. Indeed, it was expected that the Osaka and Nagasaki casinos would be approved by the end of the year.
If they should be well and truly authorized in the end, it may instead be formalized in 2023, which will impose further delays.
A hotel-casino originally expected for 2024 or 2025 in Osaka
On Thursday, December 8, 2022, Japan’s Ministry of Land, Infrastructure, Transport and Tourism sent a notice to Osaka and Nagasaki. It warns them that there is still work to be done before the hotel-casino projects can finally be approved.
As a result, the schedule for the start of construction will have to be delayed once again, thereby postponing the opening of these gaming establishments.
From the beginning, all observers expected that a hotel-casino would be allowed in the city of Osaka. Originally, it was thought that it could open its doors in the years 2024 or 2025. However, as the governmental process took longer than expected, there was talk of a delayed opening in 2027.
The latter has also been out of the news for a long time, mainly due to a corruption scandal and the international Covid-19 coronavirus pandemic.
Earlier this year, when the applications for the precious licenses were submitted, Nagasaki estimated that it could open its hotel-casino by 2027 and Osaka was talking about 2029.
As the national government has still not given its final approval for its 2 projects, these dates may once again not be able to be met.
A final decision may not be made before March 2023
After the submission of applications, it was expected that the national government would give its final approval last October. As we can see, this is still not the case and it seems that we should not expect to have it before the end of the year. Indeed, the Japanese Ministry of Land, Infrastructure, Transport and Tourism and the prefectural governments are still discussing these projects.
It is mainly the issues of environmental impact and the use of public funds for the construction of casino hotels that are taking longer than expected.
Whatever happens, final approval is no longer likely to be forthcoming. As a result, we can expect at least a 3-month delay in the process, which will cause a chain reaction for each subsequent step.
There are even rumors that no final decision will be made until March 2023, which is almost 6 months after the original date.
In short, some believe that the Osaka hotel-casino may not even be built in this decade. This is very unpleasant for the prefectures and operators who have already spent a lot of money and are waiting impatiently to start getting a return on their investment.
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