Korean government urged to establish gambling regulatory organization for integrated resorts

October 4, 2024 South Korea iGaming & Gambling

Tourism experts in Korea are calling for the establishment of a dedicated gambling regulatory organization. This initiative aims to promote sustainable and healthy growth of integrated resorts, particularly those featuring casinos. The discussions took place during The Korea Times Global Business Club, themed “Korean-Style Integrated Resorts and Future Strategic Directions.” This event held on October 2, 2024 brought together scholars, industry leaders, and government officials to explore strategies for developing and regulating integrated resorts.

Panel discussions were moderated by Seo Won-seok, a professor at Kyung Hee University’s College of Hotel and Tourism Management. Experts emphasized that a regulatory body is essential for addressing public concerns about gambling, especially the negative perceptions surrounding casinos and issues like gambling addiction.

Lee Jae-seok, a professor at Gangneung-Wonju National University, argued that merely labeling gambling as a taboo will not solve the problems associated with it. He highlighted the importance of education in preventing gambling addiction and suggested that public awareness campaigns should start at an early age.

Lee pointed to Macau as a successful example, where educational initiatives aimed at younger audiences have proven effective. He noted that in Macao, anti-gambling addiction campaigns target elementary school students, laying a foundation for responsible gaming habits.

Park Jun-hwi, vice president of the Korean Institute of Criminology and Justice, pointed out the urgent need for social safeguards and regulations to combat illegal gambling. He mentioned that while the Korean government has sanctioned seven legal gambling industries, these have failed to meet the increasing demand. “The sales from these legal operations amount to 20 trillion won (approximately $15.1 billion), while illegal gambling activities far exceed 100 trillion won,” Park was quoted as saying in a report published by The Korea Times. He warned that the COVID-19 pandemic has exacerbated the problem, particularly with the rise of online gambling.

Seo Yong-seok, an expert adviser at the National Gambling Control Commission, provided further insights into the potential roles of a regulatory organization. He cited Singapore’s Gambling Regulatory Authority (GRA) as a model, noting that such bodies should not only promote responsible gambling but also highlight the positive impacts of casinos on local economies, such as job creation.

Lee Jin-kyung, a professor at Jeju Tourism University, shared her experience as a member of the Jeju Casino Regulatory Commission. She emphasized the importance of communication between regulators and the local community. According to Lee, the commission’s approach includes consulting with residents to ensure that the casino industry develops in a way that benefits everyone. “By involving corporations in discussions, we can foster a healthy coexistence among various stakeholders,” she explained.

Tourism experts also addressed the increasing competition in Asia for developing integrated resorts. Jeong Kwang-min, a research fellow at the Korea Culture and Tourism Institute, pointed out Japan’s extensive planning efforts for its first integrated resort on Yumeshima Island. He stressed that Korea needs a similarly strategic and thorough approach to planning its integrated resorts, one that captures the unique identity and purpose of the country.

As integrated resorts gain popularity across Asia, industry leaders are urging Korea to carve out its own niche in this competitive market. They suggest blending cultural elements with resort facilities to create a distinctive Korean-style integrated resort.

Kim Sae-won, president of the Korea Culture and Tourism Institute, underscored the potential of integrated resorts as drivers of economic growth. “in order for the integrated resorts in Korea to have international competitiveness and grow into a platform that combines K-culture and tourism, creative and active discussions on the Korean-style integrated resort model and direction are needed,” she said.

Kim hopes that events like The Korea Times Global Business Club will allow stakeholders to assess the current status of Korea’s integrated resort industry and share international trends. Such dialogue could help strengthen the foundation for the country’s integrated resort sector.