Japan Prepares for Second Casino License Round

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Expertise: Gambling Industry Specialist

  • Region reconsiders integrated resorts
  • The national government is now considering reopening the bidding process

Japan’s long‑anticipated casino expansion could soon enter its next phase as the national government considers launching a second bidding round for integrated resort (IR) licenses.

After years of cautious regulatory development, Japan currently has only one approved integrated resort project—the MGM Osaka development scheduled to open later in the decade. But policymakers are now signaling that additional licenses could soon become available, prompting several prefectures to reassess whether they want to participate in the country’s ambitious casino program.

Industry observers believe the next licensing round could reshape Japan’s gaming landscape and determine whether the country becomes one of Asia’s largest casino destinations.

A scenic view of a city with mountains in the background during sunset, featuring a traditional Japanese pagoda in the foreground surrounded by autumn foliage.
Kiyozumi Dera, Kyoto, Japan. (Picture by Su San Lee)

Japan’s Integrated Resort Strategy

Japan legalized casino gambling through its Integrated Resort (IR) policy, which allows large-scale entertainment complexes combining casinos, hotels, convention centers, and tourism infrastructure.

The model was designed to boost tourism and economic development while maintaining strict control over gambling operations.

Under the original plan, Japan could grant up to three IR licenses nationwide.

The First License: Osaka

The first approved project is located in Osaka and will be developed by a consortium led by international gaming investors.

The development is expected to include:

  • a large casino gaming floor
  • luxury hotels
  • convention facilities
  • entertainment venues and shopping areas

Officials believe the Osaka project could become one of the most significant tourism developments in Japan’s modern history.

However, the country’s initial licensing process produced fewer applicants than expected.

Why a Second Licensing Round Is Now Being Considered

Japan originally envisioned three integrated resorts operating across the country.

But after the first bidding round concluded, only one license had been successfully awarded.

Two potential licenses therefore remain available.

According to industry reporting, the national government is now considering reopening the bidding process to attract new proposals from interested regions.  

Several prefectures have begun evaluating whether they should pursue integrated resort developments if the second round proceeds.

Prefectures Reassessing Casino Projects

In the early stages of Japan’s IR policy, multiple regions expressed interest in hosting casino resorts.

However, political opposition, economic uncertainty, and pandemic‑related tourism declines led several areas to withdraw their proposals.

Now that international tourism is rebounding, some prefectures are reconsidering their positions.

Economic Opportunities

Integrated resorts are designed to attract international visitors and generate substantial economic activity.

Potential benefits include:

  • job creation
  • tourism growth
  • infrastructure investment
  • increased tax revenue

Supporters argue that these developments could transform regional economies.

Local Political Debate

Despite the economic potential, casino projects remain controversial.

Critics worry about the social consequences of expanded gambling, including addiction and financial hardship.

Local governments must balance these concerns against the potential economic benefits of hosting a resort.

Japan’s Strict Gambling Regulations

Even though Japan has legalized casino resorts, the country maintains one of the world’s most restrictive gambling regulatory systems.

The government has implemented several safeguards designed to minimize problem gambling.

Entry Restrictions for Japanese Residents

Japanese citizens must pay an entry fee to access casino gaming areas within integrated resorts.

The system is intended to discourage frequent gambling by local residents.

Visit Limits

Authorities have also imposed limits on how often residents can enter casinos.

These restrictions aim to reduce the risk of addiction among domestic players.

Advanced Monitoring Systems

Casinos will be required to implement sophisticated monitoring systems that track player activity and identify signs of problematic behavior.

These measures reflect Japan’s cautious approach to casino expansion.

International Competition in Asia

Japan’s casino ambitions exist within a highly competitive Asian gambling market.

Major casino destinations in the region include Macau, Singapore, and the Philippines.

Each of these jurisdictions has developed large-scale integrated resorts designed to attract international visitors.

Japan hopes its own resorts can compete with these established destinations by offering unique tourism experiences.

The Role of Technology and Digital Gaming

Although Japan’s integrated resort program focuses primarily on land‑based casinos, digital gaming trends will likely influence the broader market.

Many modern casino resorts now incorporate digital experiences, including:

  • cashless payment systems
  • mobile gaming integration
  • advanced data analytics

Operators increasingly use technology to enhance customer experiences and improve operational efficiency.

Players exploring online gaming options often prioritize fast payouts and secure verification processes. Our overview of how online casinos handle withdrawals explains the features that typically separate reliable platforms from problematic ones.

What Comes Next for Japan’s Casino Expansion

The Japanese government has not yet confirmed the exact timeline for a second licensing round.

However, industry observers expect discussions to continue throughout 2026.

If the government moves forward, interested prefectures would likely begin preparing formal proposals outlining:

  • development plans
  • financial backing
  • community impact strategies

The selection process could take several years, given the complexity and scale of integrated resort projects.

A Pivotal Moment for Japan’s Gaming Industry

Japan’s casino policy represents one of the most ambitious gambling expansion efforts in Asia.

The success of the Osaka resort—and the outcome of any additional licensing rounds—will determine whether the country becomes a major player in the global casino tourism market.

For investors, developers, and policymakers alike, the next few years will shape the future of Japan’s integrated resort vision.

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