Singapore Gambling Revenue Hits $5 Billion Mark
Based on the latest research Singapore’s two casinos will produce gambling revenue of more than $5 billion for the first year alone, this is more than the total annual revenue of 41 casinos situated in Las Vegas.
The total population in Singapore is just over 4.6 million government has decided to legalize gambling in the country to boost its tourism industry. So far this has paid off handsomely and tourism gas gone up by 18% in the country. However, the two casinos exceeded the government’s wildest expectations and tourist from neighbouring countries such as: Indonesia, Malaysia, Australia, India and China have flocked to its casinos to gamble.
Singapore’s casinos has given Macau’s casinos a run for its money, Macau’s revenues stand at more than $20 billion through November, revenues are up by more than 50% in comparison to a year ago. It won’t come as a surprise to analyst should the two casinos exceed $5 billion in profits and by 2012 might stand at a hefty $6 billion.
“Singapore has far more potential then we initially anticipated,” said Macquarie Securities gaming analyst Chad Beynon. “Singapore might not be a financial powerhouse like Macau’s casinos, we are of the opinion the two casinos will have the opportunity yield high-end financial returns on its investment in Southeast Asia,” he said.
Gambling wasn’t intended to be the main focal point of Singapore’s two properties. A Universal Studios theme park is hosted by Genting’s Resorts World Sentosa. A 1.3 million-square-foot convention centre is in Marina Bay Sands centre, 1 million square feet of retail and the three-acre Sands SkyPark situated on top the hotel towers.
Citizens of Singapore have to pay a hefty entry fee of a $100 to enter the casinos; this has not stopped residents from visiting the casinos to say the least. “We are rather concerned that Singapore’s government might impose further steps that will hamper further visitation, chiefly from Singapore and potentially even Malaysia,” Beynon mentioned.
Marina Bay Sands has introduced a range of top class restaurants, an art museum and a play where tourists who are not interested in gambling can watch Disney’s “The Lion King” at the local theatre. Las Vegas Sands’ top management feel that nongaming contributions holds just as much potential as the actual gambling itself and they are willing to spend more cash in further non gaming developments at these two casinos.[addtoany]