Cambodia Closes Southern Provinces to New Casinos
Cambodia has banned the establishment of new casinos in the southern provinces of Kep and Kampot.
Aerial View of Wat Phnom, Doun Penh, Phnom Penh, Cambodia. (Source: Kelly, Pexels)
LISTEN TO THIS ARTICLE:According to Cambodian Prime Minister Hun Manet, the ban will halt the issuance of new casino licenses but will exempt existing casinos and integrated resorts on Bokor Mountain, as well as the upcoming casino project by Century Entertainment in Dara Sokor.
By implementing this ban, the government seeks to encourage investment diversification in sectors like hospitality, tourism, manufacturing, industry, agriculture, trade, and special economic zones (SEZs). Additionally, it aims to preserve cultural and religious heritage, improve security and maintain order in tourist areas.
Based on data from the Commercial Gambling Management Commission of Cambodia (CGMC), most of Cambodia's casinos are concentrated in coastal regions, while several others are located in provinces bordering neighboring countries. Specifically, 48 casinos are situated in provinces along the Thai border, and 35 are near the Vietnamese border. In contrast, the capital city of Phnom Penh is home to only a single casino.
The 2020 Law on Management of Commercial Gaming (Article 19) prohibits the establishment of gambling venues in certain areas for cultural and religious preservation. However, Article 20 provides an exception for casinos already operational in these areas before the regulation's enactment.
More Regulation News
Union Leader Sentenced to Prison
While Cambodia permits legal casino gambling, the industry is tightly governed by strict laws that oversee all aspects of the business, from construction to labor force.
In May, Cambodia's Supreme Court sentenced Chhim Sithar, the leader of the Labor Rights Supported Union of Khmer Employees (LRSU) of NagaWorld, to prison for two years for her role in a strike carried out almost three years ago.
The strike began in December 2021, protesting the casino's layoff of 373 employees and alleged union-busting tactics. Despite the layoffs, some workers continued to protest, demanding the reemployment of the displaced workers.
In January 2022, the Cambodian police started arresting the leaders and workers involved in the strike.
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