news flash august 2019

Casino Site News: Legalisation in Ukraine & Gambling Impact on trade war

Ukraine president wants to legalise gambling – and that’s no joke

Vladimir Zelensky, former comedian and current president of the Ukraine plans to legalise gambling in his country and authorise the development of land-based casinos in certain areas. This is part of his bid to stimulate the growth and development of tourism in the region around Odessa close to the Black Sea.

Odessa in Ukraine where the President Vladimir Zelensky wants to establish casinos

This part of the country used to be referred to as the Red Riviera when the Soviet Union was at its height and Odessa attracted thousands of tourists from all over Russia. But after the fall of the Soviet Union and unrest in the area, tourism has dropped significantly. Vladimir Zelensky now plans to revive the tourism industry in this region by allowing the development of casinos in five-star hotels.

Gambling was outlawed in the Ukraine in 2009 but in 2015 the country approved draft legislation to allow land-based casinos, online casino sites, and sports betting shops to operate in the Ukraine but so far nothing has come of this and it remains to be seen if Vladimir Zelensky can get his ambitious casino project off the ground. 

The gambling industry is feeling the impact of the trade war between China and the U.S.A

So far August has not been a good month for the gambling industry. As China and the United States continue their trade war, the impact is being felt in many industries around the world and the global stock markets are falling. The gambling industry has not escaped this downturn and is also feeling the effects of the ongoing dispute between these two economic giants. As the Chinese yuan has taken a battering and reached its lowest mark in more than ten years, gaming stocks have felt the pinch.

U.S based casino operators with properties in Macau have been the hardest hit. The biggest loser in August has been Wynn Resorts with a drop of more than 7%, Las Vegas Sands has fared slightly better with a drop of 4.5% and MGM Resort has seen their stocks fall by 2.5%.

The Asian subsidiaries of these casino operators have not fared any better. MGM China was the hardest hit with an 8.88% drop, Wynn Macau has experienced a 6.9% fall and Sands China lost 3.2%. But they aren’t the only casino operators that are suffering as a result of the ongoing trade war, Galaxy Entertainment, SJM Holdings, and Melco Resorts have all lost between 4.5% and 6.3%.