Sochi Casino Makes More Sense
Sochi’s economy could be boosted if casinos are allowed as a way to recoup investment in new infrastructure for the 2014 Winter Olympics, one analyst said.
Last week, RIA Novosti reported that Russian President Vladimir Putin had asked the Sochi authorities to study the possibility of establishing a gambling zone.
“Socchi makes a lot more sense than Crimea,” said Jonathan Galaviz, a partner at Global Market Advisors LLC.
Russia currently has one gambling zone operating on the border between the Krasnodar and Rostov regions, with three more being built in Kaliningrad, Altai, and Primorsky regions. In April, Putin submitted a draft bill to the Russian parliament to establish a gambling zone on Crimea after the Kremlin declared Ukrainian territory part of Russia.
Putin said it was up to the new authorities in Crimea to determine the location and scope of planned casino zones.
“Crime is politically unstable, but Sochi provides a solid platform of tourism potential,” Galaviz told GGRAsia.
Mr. Galaviz has previously collaborated with Russian authorities on casino gaming policies. In 2012, Mr. Galaviz advised Russian state-owned Nash Dome Primorye, which promotes gambling and entertainment areas near the port city of Vladivostok.
Sochi used about $50 billion of infrastructure for the Winter Olympics in February, and investors are worried about recouping their investments. Casinos could be one way to attract more tourists to the city and use the existing infrastructure. 파워볼사이트
“The infrastructure that was built in Sochi due to the recent Winter Olympics in Sochi is important and will support tourism growth,” said Mr. Galaviz. But he warned: “It will be important for Russia to take a transparent and structural approach to the issue of casino games in the same way that Vladivostok did.”