Vietnam's Gaming Policy Shift: Regulation, Demand, and Market Reality

Vietnam is signaling a notable shift in its gaming policy as the country moves toward a controlled expansion of regulated gambling. Early indicators from the local player pilot program, launched in November, points to higher visitation and positive market sentiment.

However, industry observers caution that strong domestic demand has yet to materialize. This lack reveals a disconnect between regulatory ambitions and actual market activity.

Early Signs of Progress in the Local Player Pilot

Initial results from the local player pilot program have been promising, particularly evident in visitation trends rather than immediate revenue growth.

Tim Nguyen, Director of Fortuna Investments, emphasized that the pilot's significance lies in its policy direction. "It's still early, but the pilot appears encouraging in terms of visitation and overall market sentiment," Nguyen stated. He pointed out that the most notable impact has been the signal that Vietnam is ready to explore a controlled domestic participation model under strict regulations.

This cautious stance is reflected in broader regulatory changes beyond the casino environment. A draft decree proposed by Vietnam's Ministry of Finance seeks to replace Decree 06 (2017). It includes new identity disclosure requirements for bettors in various sports. The regulation stipulates that individuals placing bets on football, horse racing, and dog racing must disclose personal information.

New Betting Rules and Higher Caps Signal Tight Control

The draft decree also proposes increasing the daily betting cap for international football. The cap would rise from VND1 million ($38) to VND10 million ($380). However, authorities have declined to raise the cap further.

According to the Finance Ministry, the revised cap reflects rising income levels while still aiming to prevent excessive gambling that could threaten public order. Nguyen remarked that these measures highlight the government's intent to maintain strict oversight. "This signals that the government wants gaming to remain tightly regulated and fully traceable," he explained.

Weak Domestic Demand Challenges Policy Goals

Despite the early momentum generated by the pilot program, operators report that domestic demand remains limited. Scott Choi, head of external marketing at Lion Club, noted that local access has been granted at venues like The Grand Ho Tram and Corona Resort. However, this has not yet translated into a clear increase in local play. "Although local access has recently been permitted, we have not yet seen clearly visible or strong domestic demand," Choi stated.

Several structural barriers hinder growth. Income verification requirements restrict spontaneous participation, narrowing the eligible customer base. Earlier trials at Corona Resort showed local participation fell short due to high accommodation costs and limited infrastructure.