The United Arab Emirates (UAE) is on the brink of a historic milestone as the country’s gambling regulator has issued the first-ever license to operate lottery games in the region. This development marks a significant step towards the potential establishment of the UAE’s first casino, as the General Commercial Gaming Regulatory Authority (GCGRA) announced the issuance of the license to The Game LLC, a commercial operator that will operate under the name ‘UAE Lottery’.
Former MGM Resorts International CEO and current chairman of the UAE’s federal gambling regulator, Jim Murren, hailed the launch of the lottery as a pivotal event that demonstrates the commitment to developing a commercial gambling environment in the region. The UAE is the first Arab state in the Gulf to offer legal gambling, although it remains unclear whether each of the seven Emirates will allow lottery games or casinos to operate within their jurisdictions.
The GCGRA CEO, Kevin Mullally, emphasized that the new regulatory framework is designed to ensure fairness, transparency, and integrity in the gambling sector. The use of new technologies will play a vital role in achieving these objectives, while also providing entertaining games for consumers. The press release issued by the GCGRA also serves as a reminder that gambling at unlicensed platforms is illegal in the UAE, with severe penalties awaiting anyone found facilitating such activities.
While the focus is currently on lottery games, the GCGRA has outlined plans for the regulation of table games and slot machines, hinting at the potential for land-based casinos in the future. Businesses that secure a gambling license in the UAE will be subject to regular audits, must appoint a key person to oversee responsible gaming efforts, and establish a relationship with a qualifying domestic entity with substantial business operations in the region.
Estimates suggest that once the UAE’s gambling sector matures, casinos in the country could generate annual revenues of up to US$8.5 billion, potentially surpassing the market in Singapore. The race to establish a presence in the UAE’s casino market is already underway, with Wynn Resorts leading the way by constructing a US$4 billion resort on the Marjan Islands in Ras Al Khaimah, set to open in 2027. Wynn Resorts is poised to become the first recipient of a casino license in the UAE and has allocated space in its development for a gaming floor. The anticipation of the country’s first casino has driven up real estate values in the area, signaling a boom in the local economy.
Overall, the issuance of the first-ever license to operate lottery games in the UAE marks a significant milestone in the country’s journey towards establishing a commercial gambling environment. With plans for the regulation of table games and slot machines in the pipeline, the UAE’s gambling sector is poised for growth and could potentially rival established markets in the region. The anticipation of the country’s first casino has already brought about positive economic impacts, with businesses and investors eagerly awaiting the opportunities that lie ahead in the burgeoning UAE gambling market.