The potential legalization of the gambling industry in the United Arab Emirates (UAE) carries significant implications for the country’s tourism sector, which contributes approximately 9% to its GDP. By allowing such activities in designated areas like cruise ships and hotels, the government aims to attract a wider range of tourists, enhancing the overall tourism experience.
With the establishment of the General Commercial Gaming Regulatory Authority (GCGRA), the UAE signals its readiness to explore opportunities in the gaming sector. Gaming companies, including industry giants like Wynn Resorts, have been engaging in discussions with the UAE government. For instance, Wynn Resorts has inked a deal to construct a hotel in the UAE, potentially including a gaming area. However, the realization of such projects depends on regulatory changes allowing for the licensing and legalization of gaming activities.
Legalized gambling in designated areas could act as a catalyst for attracting diverse tourists to the UAE. Apart from its renowned attractions and hospitality offerings, the introduction of gaming facilities adds a new dimension to the tourism landscape, catering to travellers seeking entertainment options like casinos and gaming experiences. This diversification enhances the UAE’s competitiveness in the global tourism market, appealing to a broader demographic and extending tourists’ stays.
Moreover, integrating gaming facilities within hotels and cruise ships complements the UAE’s existing infrastructure, enriching the overall tourism experience. By creating designated zones for gambling activities, the government maintains control over the regulatory framework while ensuring alignment with cultural and social sensitivities.
UAE Moves A Step Closer to A Regulated Casino Market with GCGRA Creation
The recent establishment of the General Commercial Gaming Regulatory Authority (GCGRA) represents a significant milestone in the United Arab Emirates’ (UAE) journey towards a regulated casino market. Currently, anyone found gambling in the UAE can be subject to two years in prison and AED50,000 (£10,699/€12,452/$13,615), according to federal law.
However, the creation of the GCGRA is the next domino to fall towards a regulated gambling market in the UAE
Heading the GCGRA is Kevin Mullally, who brings extensive experience from his previous role at the Missouri Gaming Commission, along with Jim Murren, former chairman and CEO of MGM Resorts International, serving as the board’s chairman. Mullally’s tenure at the Missouri Gaming Commission and his 17-year stint at Gaming Laboratories International (GLI) position him well for this role, while Murren’s leadership in the gaming industry adds further expertise to the board.
Despite the establishment of the GCGRA, several key aspects of the regulatory framework remain uncertain. Questions linger regarding the inclusion of online gambling, as well as the regulation of existing raffles such as Emirates Draw and Mahzooz under the GCGRA’s purview.
Consultation efforts, spearheaded by firms like GLI and Eilers & Krejcik Gaming, have advocated for a federal-level approach to gambling regulation, proposing revenue taxes on various segments of the gambling industry. Reports suggest a proposed 25% revenue tax on mass-market gambling and an 8% tax on premium gaming.
Amidst these developments, Wynn Resorts stands out as a key player poised to capitalize on the UAE’s potential for a regulated gambling market. With plans to open the region’s first integrated casino resort, Wynn has commenced construction on its Al-Marjan casino project, expected to cost approximately $3.9 billion. Set to open in early 2027, the resort will offer a wide array of amenities, including a gaming area, 1,500 hotel rooms, dining options, spa facilities, shopping centers, and entertainment venues.
While the regulatory landscape remains uncertain, Wynn’s CEO Craig Billings expresses confidence in obtaining the necessary licensing for the project, emphasizing the company’s commitment to pioneering the UAE’s emerging gambling market.
Preparation for Gaming Companies Entering the UAE Market
For gaming companies eyeing entry into the United Arab Emirates (UAE), meticulous preparation and strategic engagement are paramount, given the anticipated stringent regulatory environment. While the regulatory framework may not embrace an “open for all” approach, companies must proactively align with local requirements and forge key partnerships to navigate the regulatory landscape effectively.
1. Service Identification: Gaming companies must clearly outline their intended services and offerings for the UAE market, understanding the specific gaming verticals they aim to operate in, such as casinos, online gaming, or sports betting.
2. Local Partnerships: Collaborating with reputable local partners is essential for accessing vital resources, local expertise, and tailored solutions for the UAE market. This fosters compliance with regulatory requirements and cultural sensitivities.
3. Engagement with Authorities: Proactively communicating intentions to relevant authorities showcases a commitment to compliance and transparency. Staying informed about regulatory developments and participating in consultations enables companies to influence the regulatory framework positively.
4. Specialized Advisors: Seeking guidance from advisors well-versed in the UAE’s legal and regulatory landscape is crucial. These experts offer insights, navigate complex regulatory processes, and ensure compliance with local laws and regulations.
Regulatory Scope and Focus
The UAE’s regulatory framework is expected to prioritize a limited number of operators and heavily regulate gaming activities. Emulating the Singaporean model, the focus may be on resort-style venues within hotels rather than standalone casinos. Initial regulations could encompass casinos in hotels, with potential expansion to include gaming on liner cruises and online platforms.
Legislative Timeline and Economic Impact
Drafting gaming legislation in the UAE may vary in duration, from a few months to several years. Milestones may include the release of the first draft legislation, the implementation phase, and the issuance of licenses to operators. Significant developments are anticipated by the first quarter of the following year, with potential licensee applications underway.
Economic and Cultural Implications
Legalizing gaming in the UAE promises to diversify entertainment offerings, attract tourists, and stimulate economic growth. This move is poised to create job opportunities, attract suppliers, and enhance the UAE’s reputation as an entertainment destination. Culturally, it will shape the country’s entertainment landscape and bolster its global appeal.
In summary, the UAE’s venture into legalized gaming signifies a transformative shift with multifaceted economic and cultural implications. Proactive engagement, strategic partnerships, and adherence to regulatory requirements are key to capitalizing on emerging opportunities in the UAE’s burgeoning gaming market.
What should a gaming company aspiring to establish in the UAE prepare for?
The regulatory landscape is likely to be stringent and exclusive, not accommodating to all operators. Top companies should define their services, engage local partners such as Unicorn Global Solutions, communicate with authorities, and seek specialized advice to navigate the process effectively.
How long will drafting the law take, and what impact will it have on the UAE economy?
The drafting process could span from months to years, with regulations potentially phased in over time. The first version of the law is anticipated soon, with subsequent implementation and licensing to follow. This initiative promises to diversify the UAE’s entertainment offerings, attract tourists, create jobs, and stimulate economic growth, making it a pivotal move with far-reaching implications.
Will the regulation encompass casinos in hotels, liner cruises, and online gaming?
The focus is expected to be on casino resorts within hotels, following the model of Singapore. While cruise liners and online gaming might be considered later, initial emphasis will be on hotel-based casinos. Lotteries, casinos, sports betting, and possibly other gaming forms could be regulated.
Why were US specialists chosen for GCGRA?
US specialists were chosen for the General Commercial Gaming Regulatory Authority (GCGRA) in the UAE due to their extensive experience and expertise in the gaming industry, particularly in jurisdictions where gaming is regulated and commercialized, such as the United States. This decision signifies a deliberate effort to adopt a regulatory framework akin to established models, aligning with global best practices. The selection of these specialists reflects a strategic approach, leveraging their consultancy services to governments worldwide, ensuring a robust and effective regulatory environment for gaming in the UAE.

How Unicorn Global Solutions can Help
Unicorn Global Solutions offers comprehensive support for gaming companies aiming to establish a presence in the UAE, encompassing business setup, compliance, and tax processes. With their specialized expertise, Unicorn Global Solutions guides companies through the intricacies of setting up their business entity in compliance with UAE regulations, facilitating the acquisition of necessary permits and licenses.
Moreover, they provide tailored assistance in navigating the complex landscape of regulatory compliance and tax obligations specific to the gaming industry. By partnering with Unicorn Global Solutions, gaming companies can streamline their entry into the UAE market, ensuring regulatory adherence, mitigating risks, and optimizing their operations for sustainable growth and success. Text us on WhatsApp or call us today.