LUN 30 DE ENERO DE 2023 - 22:07hs.
COVID-19 crisis may delay process

Japan to publish basic policy for resorts with casinos by end of July

Whilst the effects of the coronavirus pandemic looks likely to delay Japan’s IR implementation period in 2021, the final version of the government’s Basic Policy for IRs will be published by the end of July. The four candidate local governments of Osaka, Yokohama, Nagasaki and Wakayama have always been planing to have their IR business partner decided in Autumn 2020.

Japan-based consultancy Bay City Ventures has released a report detailing the timeline. Its Managing Director Joji Kokuryo said: “The submission period for IR implementation plans to the Central Government by local governments and their IR partners runs from 4 January 2021 to 30 July 2021. This clear deadline affects every single timeline.”

“If there are to be changes, it is much more likely that the July 2021 deadline is moved than the 26 July 2020 date, as the latter would involve revising the IR Implementation Law,” Kokuryo added.

“The four candidate local governments [Osaka, Yokohama, Nagasaki and Wakayama] have been moving around their schedules for a variety of reasons, however the one constant has always been to have their IR business partner decided in Autumn 2020. This is a simple back calculation from the July 30 2021 deadline, because there must be sufficient time to openly discuss and create a sound business plan for their application to the Central Government,” the report adds.

“Regardless of when the RFP procedure begins, local governments currently have a rough estimate of two to three months after receiving operator proposals to select their IR partner and at the very least seven months to finalise with their partner an IR business plan. This makes for a very tight Schedule,” it concludes.

In a white paper, Brendan Bussmann, Director of Government Affairs for Global Market Advisors, said: “As it stands currently, the central government will accept proposals from January 4 to July 30, 2021 and this timeframe will likely not move for a host of reasons. One of the main reasons for this is that the further this date gets pushed back, it is less likely that the integrated resort champion, Prime Minister Abe, will be spearheading the project.”

Source: GMB / G3 Newswire