Horse racing project still coming up lame

The project has yet to break into a gallop

At the most recent meeting of line ministries and the government cabinet to discuss G.O.Max I&D’s proposed $570 million track, Prime Minister Nguyen Tan Dung said issuing an investment certificate would have to wait until the government had released a decree and guidelines about sports-related betting services. Dung’s direction is influenced by the fact that betting is currently a prohibited activity in Vietnam.
Developers of already licenced horse racing tracks in Vietnam deliberately delayed operating their projects, demanding that the Vietnamese Government allow services associated with their businesses.
In Dung’s opinion, foreign investors should first research existing rules about betting services in the country to see whether these regulations can satisfy their business objectives. It is only then that they must decide whether or not to seek government approval for a proposed business.
The decree on sports-related betting is currently being drafted by the Ministry of Finance (MoF) and the Ministry of Culture, Sports and Tourism.
Pham Phan Dung, chief of MoF’s Finance and Banking Department, told VIR that the draft decree, including consultations with the ministries of Planning and Investment, and Public Security, was hoped to be on the table with the prime minister at the end of the year.
“Our on-going research suggests that we must remain very prudent on this issue because betting and other gambling services is still a sensitive matter in Vietnam.
“What’s more, we are currently engaged with a huge amount of work which takes a stronger priority, such as deciding on measures to curb the nation’s rising inflation,” he said. Delayed introduction of the decree on betting services will upset Nguyen Ngoc Phi, the chairman of Vinh Phuc People’s Committee. Vinh Phuc was the location chosen by the Korean investor to build the world-class horseracing track.
If the project went ahead, it would significantly boost the area’s FDI activities and entertainment facilities and support the development of local tourism. Only 50 kilometres north-west of Hanoi, the horseracing track would stretch over 170 hectares of land and the stadium would provide between 15,000 and 17,000 seats. The investor also planned to establish 50 outside sales offices across Vietnam.
Phi hoped that the government would give an official response to the project in a couple of months, rather than letting the investor wait in vain.