DUBAI (The Thursday Times) — In the UAE, where alcohol is strictly regulated and public behavior is carefully monitored, gambling remains both a cultural and legal taboo for local citizens. Yet, behind the scenes, the UAE is quietly building the foundation of a multi-billion-dollar gaming industry aimed at foreigners, signaling a major shift in the country’s economic and cultural landscape.
While public discussions about casinos are still minimal, several key indicators point toward the emergence of the UAE as a global gambling hub. The country has already established a national gaming authority, and major players in the casino industry, including seasoned executives from Las Vegas, are taking up residence in the Emirates. Wynn Resorts has even received a license to operate a “gaming facility,” a first in the region.
This emerging industry has the potential to generate significant economic benefits. Analysts estimate that the UAE’s future casino market could contribute as much as 1.7% of the nation’s GDP, bringing in nearly $10 billion annually. This development marks a profound shift in a country that was, not too long ago, mostly untouched desert.
A slow yet calculated rollout
Despite the burgeoning behind-the-scenes activity, the legal framework around gambling in the UAE is still evolving. Currently, “gambling tools and machines” are listed as restricted goods, and there’s no official gaming law in place. However, the UAE government has been laying the groundwork for this industry since early 2022, taking measured steps to introduce the concept of integrated resorts with gaming components.
In January 2022, Wynn Resorts announced a significant partnership with Ras Al Khaimah (RAK) to develop a large-scale resort that would feature a “gaming area.” This marked the beginning of a new era for the emirate’s entertainment landscape. Shortly after this announcement, Ras Al Khaimah established the Department of Entertainment and Gaming Regulation, which would oversee these developments, highlighting the emirate’s commitment to building an integrated resort industry.
By November 2022, Wynn Resorts’ CEO, Craig Billings, publicly confirmed that the RAK resort would include a casino component, making it one of the first instances where the word “casino” was openly used in relation to the UAE. This signaled that the country’s stance on gaming was slowly evolving, although details remained under wraps.
Fast forward to August 2023, and Billings told investors that a casino license for the RAK resort was expected “imminently.” However, as of October 2024, no official confirmation of the license has been made public, leaving many to speculate on the status of the project.
In September 2023, the UAE took a significant step by launching the General Commercial Gaming Regulatory Authority (GCGRA), which was tasked with overseeing gaming activities throughout the country. During this time, MGM Resorts also hinted at the possibility of a “gaming decree” being signed in the UAE, indicating the nation was preparing for larger gaming initiatives.
By July 2024, the GCGRA quietly launched a website that provided detailed information for operators interested in applying for gaming licenses. This move solidified the UAE’s intentions to regulate and manage the upcoming gaming industry.
In September 2024, MGM Resorts confirmed it had applied for a casino license in Abu Dhabi, becoming the first operator to officially do so. This milestone was followed by an announcement in October 2024 from Wynn Resorts, stating it had received a “Commercial Gaming Facility Operator” license from the GCGRA, a pivotal moment for the company’s UAE expansion.
RAK’s Wynn Resort
Ras Al Khaimah (RAK), traditionally overshadowed by Dubai and Abu Dhabi, is positioning itself as a major player in the UAE’s emerging gaming industry. The emirate has partnered with Wynn Resorts to develop an ambitious $3.9 billion integrated resort on Al Marjan Island, a man-made archipelago. Slated to open in 2027, the resort will feature over 1,500 rooms, 24 restaurants, and a massive casino that could become one of the most talked-about gaming establishments in the region.
The planned casino will span 224,000 square feet, making it larger than Wynn Las Vegas’s gaming floor. The project’s expected annual EBITDA could reach up to $600 million, setting a high bar for profitability in the UAE’s gaming sector.
Despite the excitement, the project comes with financial challenges. A report from Fitch Ratings in May 2023 highlighted concerns that the project could initially weigh on public finances. Still, Wynn Resorts is optimistic, having already trademarked names like “Arabian Strip” and “Marjan Strip,” hinting at future developments on the island.
MGM clutches to Abu Dhabi
MGM Resorts is also making moves in the UAE’s gaming landscape. Although its Dubai project remains in limbo since its announcement in 2017, MGM is shifting focus to Abu Dhabi. The company has applied for a gaming license in the capital and is awaiting approval from the federal government.
MGM’s CEO, Bill Hornbuckle, has expressed confidence that the UAE is ready for casinos, noting that the cultural barriers have been largely overcome. He cited the fact that 80-90% of the UAE’s population consists of non-Emiratis, with massive potential demand from markets like India, China, and the broader Middle East.
Regulatory action
The UAE’s newly established General Commercial Gaming Regulatory Authority (GCGRA) is responsible for regulating the nation’s gaming activities, including lotteries, internet gaming, sports betting, and land-based casinos. According to the GCGRA, commercial gaming refers to any game of chance where money is wagered with the intent to win.
To qualify for a gaming license, operators must have a “qualifying domestic entity” (QDE) in the UAE or form a partnership with one. Wynn Resorts and MGM have already established QDEs with local developers, positioning themselves well for future expansion in the region.
Is the UAE ready?
Building a successful gaming industry in the UAE requires more than just creating casinos; it demands a cultural shift. While gambling remains off-limits for Emirati citizens, the country’s large expatriate population and international tourist base offer significant opportunities for growth. As sports and entertainment events like Formula 1, UFC, and NBA games gain popularity in the UAE, the country seems ready to embrace gaming as part of its broader tourism and entertainment strategy.
What’s next for the UAE’s casino scene?
The UAE’s journey toward becoming a global gambling hub is still unfolding. With major players like Wynn Resorts and MGM vying for a piece of the market, and the government carefully navigating the legal and cultural challenges, the country is poised for significant transformation. Once fully realized, the UAE’s gaming sector could rival established markets like Las Vegas and Singapore.
As the world watches this cultural and economic shift unfold, one thing is certain: the UAE’s future as a major player in the global casino industry is on the horizon.
