Nagasaki’s casino integrated resort (IR) development plan is still under evaluation by the central government more than a year after it was submitted to the national authorities for approval. The city’s prefectural government remains hopeful that the IR proposal will get the green light, despite the challenges.
Investment Consortium Involved in Nagasaki IR Project Could Collapse
Among the main issues that may have caused the central government to delay its decision on Nagasaki’s IR proposal is the uncertainty surrounding its funding scheme. Credit Suisse AG, which was previously named by the Nagasaki prefecture as one of the financial arrangers for the project, was recently acquired by UBS Group AG.
Toru Mihara, Chairman of Japan’s National Council on Gaming Legislation, previously warned that if concerns about the funding scheme are not promptly addressed, and the proposal does not obtain approval from the central government within the next few months, the consortium of investors involved in the project could collapse.
Nagasaki’s IR Plan Still Has a Chance
Osaka, which also submitted its IR plan to the national government in April 2022, already received certification from the Ministry of Land, Infrastructure, Transport, and Tourism.
Osaka’s IR proposal was approved in April this year after securing 657.9 points during the assessment process, slightly above the required 600 points. But Nagasaki is still awaiting updates from the national authorities as to the status of its IR plan.
In a recent Q&A session of the Nagasaki prefectural assembly, officials said they believe the city’s IR proposal will eventually be approved.