The massive expansion projects at Singapore’s two integrated resorts will drive more revenue to the country, but market growth will be limited as competition intensifies within the region based on market analysis of Praveen Choudhary, Managing Director at Morgan Stanley.
Singapore’s Casino Expansion Projects
The Marina Bay Sands and Resorts World Sentosa are investing SG$4.5 billion each for hotel and facilities expansion aimed at attracting more customers. Marina Bay is building a fourth tower comprised of more than 1,000 hotel rooms, with additional attractions such as a sky pool and a rooftop bar. Similarly, Resorts World will develop a new waterfront lifestyle complex that will house 1,100 new hotel rooms and will also expand its leisure and entertainment space.
Heated Competition in ASEAN Region
Choudhary stated during his speech at the recent G2E Asia Special Edition: Singapore event that the expansion projects would, as expected, result in higher GGR, however, it could not be considered a major boost for the sector, given the competition from neighboring countries, including the Philippines, Cambodia, and also Macau which earlier announced it was considering giving tax breaks to operators that can bring in customers from overseas.
Choudhary believes Singapore needs to be mindful of this aspect and not just solely focus on the expansion.