South Korea's tourism sector has pushed back against the Government's proposed overhaul of casino regulations, warning that higher contributions to the Tourism Promotion and Development Fund and a new renewal-based licensing system could deal a significant blow to the country's integrated resort industry.
Representatives from the casino, hotel, travel and MICE sectors argue the proposals would undermine the competitiveness of South Korea's gaming market.
12 tourism-related organizations, including the Korea Casino Association, the Korea Tourism Association and the Korea Hotel Association, issued a joint statement urging the Ministry of Culture, Sports and Tourism to withdraw the casino industry reform plan currently under review.
The ministry is considering raising the maximum contribution rate to the Tourism Promotion and Development Fund from 10% to 15% of casino sales. Industry groups argue the increase would place an even greater financial burden on operators, who are already required to contribute to the fund based on revenue regardless of whether they are operating at a profit or a loss. Meanwhile, half of domestic casino operator have recorded operating losses over the past 10 years.
Industry groups also warned that introducing a five-year renewal cycle for casino licenses would create uncertainty for integrated resort developers and discourage long-term investment. They argued that integrated resorts require substantial upfront capital, often amounting to hundreds of billions or even trillions of won, with returns taking many years to materialize. Requiring operators to undergo license reviews every five years, they said, could make it harder to secure new investment and attract foreign capital.
Tomorrow, the Korea Tourism Association and the Complex Resort Tourism Research will jointly hold a "Casino Industry Law and System Improvement Policy Meeting for the Development of the Tourism Industry." The meeting will discuss the casino system reform plan.
Recently, Global Gaming Insider analysed South Korea's gambling market beyond casino tourism. The country's foreigner-only casino sector accounted for 19.1% of total regulated gambling revenue in 2025. However, domestic demand remains a key driver of the market, with locally accessible casinos, lotteries, horseracing and sports betting collectively generating a significantly larger share of regulated gambling revenue than casinos.
Meanwhile, one of South Korea’s largest integrated resorts, Jeju Tower, recently reported record monthly casino revenue. July casino revenue increased 18.8% year-on-year to a record KRW51.6bn (US$36m), while year-to-date casino revenue rose 33.3% in the first seven months of 2026.
Industry groups warned that stricter casino regulations could weaken competitiveness as Singapore and Macau continue to expand and Japan moves forward with integrated resort development
