Initial reading of Macau’s gaming credit bill successfully passes

Macau lawmakers have given their approval to the initial reading of a legislation called “Legal Regime of Credit Concession for Gambling in Casinos.” This bill targets the unauthorized provision of credit to gamblers by third parties and intends to enforce stricter regulations in this regard.

The bill, anticipated to take effect in early next year, will now progress to a Legislative Assembly panel for further examination and scrutiny. As per the proposed legislation, only gaming concessionaires and their affiliated junkets will be authorized to extend credit to players. Violation of this provision could result in a maximum penalty of MOP5m (US$620,000).

Management companies, including third-party promoters of local satellite casinos, will be prohibited from engaging in any credit-related activities. By narrowing the scope of credit to authorized entities, Macau aims to reinforce regulation and mitigate potential risks associated with unregulated credit practices.

During the initial reading of the bill, lawmaker Ron Lam U Tou highlighted that gaming operators will be incorporated into the Credit Data Platform, a central system established by banks for credit information. Lam stressed the significance of this integration to gain insights into credit matters concerning junkets, thereby safeguarding the financial system against potential threats.