The Korea Casino Association and eleven tourism organisations have opposed two government proposals: raising the levy rate for the Tourism Promotion and Development Fund and replacing indefinite licenses with five-year terms. In a joint statement issued Monday, the groups warned the changes would curtail investment and harm employment across the tourism sector.
Operators currently pay the fund levy on gross gaming revenue, not profit. Raising the maximum rate would push smaller casinos into deeper losses, the statement said. Five-year licenses create uncertainty for integrated resorts that require investments ranging from hundreds of billions to trillions of won, discouraging foreign capital. The industry called the measures 'punitive regulatory burden' and demanded both proposals be withdrawn.
The Ministry of Culture, Sports and Tourism responded that the 15% rate would apply only to revenue above a new threshold, not the entire take. The threshold will be set in consultation with operators and experts. On licensing, the ministry said the system would assess compliance with current conditions without requiring a new competitive process, and a transition period would be provided.
Signatories included the Korea Tourism Association, Korea Hotel Association, Korea Association of Travel Agents, Korea MICE Association and seven other bodies. The dispute underscores regulatory sensitivity across Asian gaming markets, where authorities tighten control and operators point to investment climate risk.
