Political crisis could imperil Thailand casino plan

Prime Minister Paetongtarn Shinawatra’s handling of the border conflict with Cambodia has put her political survival in question. It has also jeopardised an ambitious plan to legalise casinos in Thailand.
In May, skirmishes along a disputed section of the border led to gunfire that killed a Cambodian soldier. Since then, both countries have restricted border crossings and suspended trade. The Thailand Royal Army ordered all Thai residents who work at Cambodian casinos to stay home until further notice.
The crisis deepened on 15 June. That was when a call from Paetongtarn to ex-Cambodia PM Hun Sen was leaked to the public. In the recording, Paetongtarn was deferential to the former leader. She addressed him as “uncle” and urged him to disregard “the other side” in Thailand, including a leading Thai border official.
“Right now, that side wants to look cool, they will say things that are not beneficial to the nation,” Paetongtarn said. “But what we want is to have peace just like before any clashes happened at the border.”
She added that if Hun Sen “wants anything, [he] can just tell me and I will take care of it”.
In response, an outraged Bhumjaithai Party withdrew as a coalition partner of the ruling Pheu Thai Party. In a statement, Bhumjaithia demanded that Paetongtarn “show responsibility for making the country lose its integrity [and] honour”.
Is Paetongtarn on the way out?
In March, Paetongtarn survived a no-confidence vote by rivals who said her father, former prime minister Thaksin Shinawatra, is pulling the strings. The new crisis has emboldened her enemies, who see an opportunity to overthrow the leader less than a year since her inauguration.
Her ouster could unravel an ambitious plan to introduce casino resorts in Thailand to boost tourism and foreign investment. Pheu Thai originally tried to fast-track the proposal in hopes of opening the first “entertainment complexes” by 2029. But the plan has met with fierce opposition from anti-gambling activists and some in government, including members of the Bhumjaithai Party.
Last week, a network of civic organisations sent a 53,900-signature petition to Thailand’s Election Commission, calling for a national referendum on casino legislation.
Paetongtarn is doing damage control, but it may not save her, said Thitinan Pongsudhirak, professor of political science at Chulalongkorn University.
“Paetongtarn compromised her position as prime minister and damaged Thai national interest by kowtowing to Hun Sen,” he told CNN. “Her exit is a matter of time and she could be liable for further charges.”
Government ‘fragility’ creates risk for Thai casino project
Tourism leaders have cautioned the government not to press passage of the Thailand casino bill, which could lead to more street protests and discourage travellers.
“Given the government’s fragility, quickly pushing the Entertainment Complex Bill into the next parliamentary session would create more risks for the country,” said Thienprasit Chaiyapatranun, president of the Thai Hotels Association. “This project has consistently drawn a lot of criticism and opposition.”
He agreed with Thanakorn Khomkrit of Thailand’s Stop Gambling Foundation that a referendum would give the government “a clear mandate from the people” on casinos.
“If the government rushes this project, they should let the public voice their opinion via a referendum,” Thienprasit told the Bangkok Post. “The private sector cannot fully support it if we cannot see the final draft.”
Meanwhile, the border conflict is taking a bite out of Cambodian casinos. Gaming halls in border towns like Poipet have seen a 90% drop in gamblers from Thailand. In response, Cambodian casinos are trying to woo back gamblers with discounted room rates and airfares and other promotions.