Vietnam’s pilot casino in Phu Quoc said to be accumulating losses as locals visitation remains subdued

According to local media outlet VietnamNet, the Ministry of Finance detailed the performance of Corona Resort & Casino in Phu Quoc – the only casino in Vietnam at which locals can gamble – in a report sent to the National Assembly on Monday.

The report allegedly reveals accumulated revenues between Corona Resort’s 2019 launch and end-2023 of VND6.4 trillion (US$259 million), contributing around VND3.8 trillion ($154 million) to the state budget. This included a 45.7% year-on-year increase in revenues to VND2.2 trillion (US$89 million) in 2023.

However, the report claims Corona Resort has still booked accumulated losses of more than VNĐ3.7 billion (US$150,600) “due to depreciation costs and large initial interest payments”. It is unclear whether the property was profitable in 2023.

The report also reveals that the total number of casino visitors between 2019 and end-2023 reached 475,450 of which 295,943 or 62% were locals and 179,507 or 38% foreigners.

This figure, it notes, was skewed by the COVID-19 pandemic which saw a higher proportion of locals in 2020 and 2021 when international borders were closed. In 2023, the number of Vietnamese players accounted for just 39% of total visitors.

VietnamNet said the Ministry is still awaiting directives from Vietnam’s Politburo on the future of the pilot program after providing earlier trial results last August.

Under the original terms of the program, two casinos were to be granted a three-year window to trial locals gaming, however the second casino in Van Don remains undeveloped while the pandemic heavily impacted the operations of Corona Resort & Casino during its initial trial period.

Casino business can only be organised after the project has disbursed at least 50 % of the total investment capital. The location of the casino business must be approved by the Politburo for each specific project and must be approved by the Prime Minister for investment policies.