The Vietnam Chamber of Commerce and Industry (VCCI) has put forward a proposal to the Ministry of Finance, calling for a significant increase in the daily betting cap on international football, horse racing, and greyhound racing. This proposal is designed to strengthen the competitiveness of licensed operators in the country and tackle the growing issue of illegal gambling platforms that currently operate without restrictions.

A Bold Proposal for Increased Betting Limits

The VCCI’s recommendation suggests raising the maximum daily betting limit for players to VND100 million (approximately US$3,800), a sharp increase from the VND1 million ($38) limit set in the draft decree. This increase would be a tenfold jump, allowing legal operators to better compete with the unregulated gambling market, which faces no such limits. VCCI proposes two potential approaches: one being a VND100 million cap per player, and the other being a VND10 million cap for each betting product category, which could apply to different bet types like football, horse, and greyhound races.

The Ministry of Finance’s draft decree does propose increasing the current betting limit to VND10 million per day, a decision the VCCI acknowledges as a positive step. However, the chamber argues that this is insufficient, pointing out that it remains out of sync with both market realities and the income levels of high-stakes bettors. In contrast, illegal betting platforms impose no limits, allowing players to engage in unrestricted betting that undermines the effectiveness of the country’s regulatory framework.

VCCI highlighted that, in more developed gambling markets, most betting revenue is generated by high-stakes customers. As such, the proposal to increase the limit to VND100 million would align Vietnam with international standards and create a more viable legal betting landscape that could rival illicit operations.

The VCCI also called for adjustments to Vietnam’s regulatory framework to encourage legal operations while curbing the growth of illegal gambling activities. According to Tuoi Tre News, it suggested a reduction in the mandatory contribution from betting operators to the state budget, which is currently set at 10% of the gross gaming revenue (GGR), in addition to a 30% special consumption tax and a 10% VAT. The VCCI believes that this 10% tax is excessively high and would make legal operators less competitive compared to unregulated platforms, which do not face such tax obligations.

Instead, the VCCI proposes reducing the state’s revenue contribution to 5% during the pilot phase of the betting industry, allowing businesses more room to grow and stabilize their operations. As the market matures, the government could gradually increase the contribution to more sustainable levels. According to the VCCI, this adjustment would create a more flexible policy environment that fosters long-term investment and sustainable business practices.

Changing the Trial Period for Betting Operations

Another key issue raised by VCCI concerns the trial period for international football betting operations. The Ministry of Finance’s draft decree currently stipulates a five-year trial period starting from the date the business is granted its eligibility certificate. However, the VCCI pointed out that businesses would require more time to implement their operations fully.

The VCCI proposed that the trial period begin not from the date the certificate is issued but from the date when an operator officially launches its international football betting operations. This would give operators time to set up their technical systems, secure licensing agreements, and recruit staff, providing a more accurate assessment of the business model’s performance.

VCCI also advocated for the relaxation of the advertising restrictions currently in place for betting companies. The draft decree limits advertising to physical headquarters and official websites, with strict guidelines on the content displayed. The VCCI suggests that companies be allowed to advertise on digital platforms, including social media, mobile apps, and search engines, with safeguards such as age restrictions and responsible gambling warnings. This change would enable licensed operators to engage with potential customers more effectively while maintaining the integrity of the market.