The draft decree also stipulates that a casino will be considered licensed only once it has been included in a plan approved by the Prime Minister, Hue said. In addition, the number of gambling machines will be limited based on the number of guest rooms, at a rate of one machine for every five rooms, said Finance Minister Vuong Dinh Hue at yesterday’s meeting in which the Government submitted the draft legal document to the National Assembly’s Standing Committee.

He emphasized that such regulations are in accordance with international practices and have been built based on consultations with foreign investors in the field.

The country now has 43 slot gaming centers at hotels of 3-star standard and up, and seven casinos, the minister said, adding that two more casinos will be licensed in the near future.

Currently most slot gaming centers and casinos use two common gambling devices, namely jackpot machines and slot machines, along with others like bacarat, blackjack, roulette, paigow and others, Hue said.

Casinos have been set up to serve the recreational interest of foreigners who are living and working in Vietnam, helping to boost foreign investment in Vietnam and attract more international visitors to the country, the minister said.

Annual growth of casinos is 10-15 percent on average and last year they paid their obligations, worth VND1.5 trillion, to the State budget.

"Casinos also create job opportunities for people, since a casino can employ 40-1,000 workers depending on its operation scale,” the minister said.

Under Vietnamese laws, only foreigners or overseas Vietnamese are allowed to gamble at casinos.

Law on casino needed

As Vietnam does not have any laws that govern the casino field, it is necessary to promulgate a law on the issue to ensure effective management, said the National Assembly’s Finance and Budget Committee.

Minister Hue said, "as assigned by the Government, the Finance Ministry is preparing a decree on casinos and is collecting feedback. This decree, if passed, will serve a legal reference for building a law on casinos in the future.”

The NA’s Deputy Chairman, Uong Chu Luu, cited a recentlhigh-profile dispute worth US$55 million between a Vietnamese-American named Ly Sam who demanded that a Ho Chi Minh City-based casino pay him the US$55.5 million he had won while gambling in 2009. The defendant in the case is Dai Duong Joint Venture Company, the owner of the Palazzo Club at the five-star Sheraton Saigon Hotel, which refused to pay the prize, blaming the winnings on "some fault” with the game machine.

Therefore, Luu suggested that a law on casinos should stipulate how large of a prize can be allowed, how many tokens can be accepted, and how a dispute can be settled.

Along with drafting the decree, the ministry is collecting opinions about another decree on betting activities in dog racing, horse racing and sports – firstly for international football tournaments only.