Casinos may be banned in Japan but that doesn’t mean that gambling is off limits. Pachinko gaming parlours are widespread and pachislot gaming machines far outnumber slot machines in the United States. It is the element of skill and non-cash prizes that keep the machines legal. The Japanese also spend more money betting than Americans and the gaming market is immense.

Although it is thought unlikely that there will be a move towards legalizing casinos in Japan in the near future, the prospect is still on the cards. With increasing numbers of Japanese travelling to play at casinos in Macau, Malaysia and Las Vegas, and Singapore’s casinos on the horizon, the Government may attempt to keep some of these gambling dollars at home. If that happens then several international operators would be placing a bet on projects for Japanese casinos.

Gaming manufacturers are already present in the Japanese market place. Japan is currently undergoing changes in machine legislation with a resulting transition from Regulation 4 to Regulation 5 gaming. Aristocrat Leisure of Australia saw a decline in Japanese first half profits last year but sold a record 98,000 games in 2005. The company has developed a range of Regulation 5 compliant Pachislo machines. IGT sold 18,500 units to Japan last year, helping the 80% increase in the company’s international sales.

It is common knowledge in Japan that most prizes won on pachinko machines are illegally converted to cash off the premises. As this is the case, the progression in gaming law to legalizing casinos does not appear too great, but it is not only the anti-gambling lobbies that see such a move as a step too far – the pachinko industry is not keen to see competition.

However, much as in other Asian countries, Japan may yet gamble that integrated casino resorts are the way forward in attracting foreign tourists and foreign investment to the country, as well as encouraging Japanese gamblers to play at home. (E-06.07.06)

© Copyright 2006 CasinoCompendium



>>> return to archives
>>> return to frontpage