GGRAsia – Nagasaki confirms still in talks with govt on casino plan

Nagasaki confirms still in talks with govt on casino plan

Apr 14, 2023 Newsdesk Japan, Latest News, Top of the deck

Japan’s Nagasaki prefecture has confirmed to GGRAsia that it is still in talks with the national government over its casino-resort application, but hopes to achieve “accreditation as soon as possible” for its proposal.

Referring to a Friday announcement by the national authorities regarding a first-stage go-ahead for Osaka’s tilt at a casino project or integrated resort (IR), a spokesperson for Nagasaki prefecture’s IR Promotion Division told GGRAsia in response to our enquiry: “They decided to approve the Osaka IR and continue the review of the Kyushu-Nagasaki IR.”

“Nagasaki prefecture will continue [discussions with] the Japanese government with the aim of achieving accreditation as soon as possible,” added the representative.

Nagasaki and Osaka submitted in April 2022 their respective plans for an IR. An investment of JPY438.3 billion (US$3.3 billion) had been mentioned in relation to Nagasaki’s proposal. Osaka’s has been described as a JPY1.08 trillion scheme.

Nagasaki’s scheme would include Casinos Austria International Japan Inc as a commercial partner. A site within the Huis Ten Bosch theme park in Sasebo city, part of Nagasaki prefecture, has been earmarked for the development.

“For Nagasaki, there have clearly been some points that need further confirmation, mainly regarding the Credit Suisse acquisition by UBS, so it is logical that the decision on their approval will come later,” suggested Joji Kokuryo, managing director of Japan-based industry consultancy Bay City Ventures Ltd, in comments to GGRAsia.

Nagasaki governor Kengo Oishi last year described Credit Suisse Group AG as one of several potential “financial arrangers” for its proposed casino resort project. In March he said the prefecture was weighing the possible impact of the sale of Credit Suisse to another Swiss lender, UBS Group AG.

Industry commentator Daniel Cheng believed that there was no urgency on the part of Japan’s national government to certify Nagasaki’s IR scheme, aside from the funding topic.

Mr Cheng, a former senior vice president at Hard Rock International, a casino group that considered pursuing a Japan gaming licence, suggested to GGRAsia: “Nagasaki was never in the top political sights,” at national-government level, for an IR site. “There’s [no]… inherent rush to certify them, and the Credit Suisse issue just exacerbated [matters].”