In a significant development, Cambodia's Commercial Gambling
Management Commission (CGMC) has made substantial changes to the country's
gambling landscape. Since the implementation of the 2021 gaming law, the CGMC
has issued a total of 87 casino licenses, marking a notable reduction from the
previous number of over 200 casino operators.
Khim Oudam, Deputy Director of Legal Affairs and Licensing
Department for the CGMC, announced these changes during a panel session at the
IAG Academy Summit on September 13, 2023. He highlighted the CGMC's commitment
to stringent control over Cambodia's gambling industry, which led to this
significant reduction in the number of licensed casinos.
Under the new law, casinos must have a minimum capital of
$100 million for normal casinos and $200 million for integrated resorts. This
requirement has resulted in the closure of many smaller casinos that could not
meet these financial criteria.
The 2021 gaming law was a long-awaited move in Cambodia's
gaming industry. Prior to its enactment, smaller casinos operated largely
unchecked, avoiding contributions to state funds. The law, known as the
"Law on the Management of Integrated Resorts and Commercial
Gambling," encompasses various gambling regulations, providing the state
with better control over the industry.
The law also introduced a new tax structure for VIP and mass
market gross gaming revenues, with tax rates set at 4% and 7%, respectively.
Additionally, casino operators are now required to declare their gross revenues
on a monthly basis and make monthly tax contributions in accordance with the
law.
This significant reduction in the number of licensed casinos
is a testament to Cambodia's commitment to regulating and controlling its
gambling industry effectively.