New Mexican reforms aim to ban slot machines
President Andres Manuel López Obrador has proposed a new law that would ban all slot machines in casinos across Mexico.
The federal government is preparing a reform to completely ban slot machines in casinos, which were legalized during the administration of former President Felipe Calderon. In 2016, the Supreme Court unanimously upheld this view.
The Home Office last week began publishing draft reforms to the Federal Gambling Laws and Regulations (RFLGS). This would eliminate the need to "draw numbers or symbols through the machine," a direct reference to slot machines.
Find the gap
Obrador's position is that many casinos were illegally licensed during Calderon's administration. Local governments have allowed new casinos to open despite López Obrador ruling them illegal.
According to the way he and his advisers interpret the law, the Betting and Lottery Bureau under the Ministry of Interior is the only agency in the country that can issue casino licenses. Therefore, the municipal license has no right to exist.
The license is currently under review, which has caused the casino market to experience some contraction. However, this measure is not 100% effective in preventing the emergence of new casinos.
To justify the new measures, the government argued that the machines were not approved by the RFLGS. Only dominoes, chess, checkers, bowling, billiards, dice, skittles and raffle games are allowed. Furthermore, the Mexican Congress reportedly has not made any changes to the law since 1947.
The reform will not be retroactive, which will provide some relief if the measure goes ahead. The 444 casinos currently operating in the country will be able to keep their slot machines, but only for the duration of their current licenses.
These licenses include an additional 408 casinos that are not yet open. If operators intend to develop these properties, they will have to do so without slots.
Online games replace physical games
The state of land-based casinos has contributed to the rise of online gambling, at least for now. Statista data shows that Mexico is one of the countries with the most daily visits to online gaming platforms in the world.
Additionally, more than 60% of online bettors in Mexico prefer these platforms to traditional venues, according to the International Gambling Report. In terms of their preferences, sports betting, lottery draws, instant lotteries, slot machines and roulette stand out.
These figures show the growth of online gambling in the country, even if it is not as fully regulated as other countries. According to the government, this means that more than 50% of platforms are outside the control of the National Games and Competitions Authority.
Ultimately, this could put the iGaming space in the same position that the physical gaming space is currently facing. If so, it could cause more trouble for online gaming operators.
Read also:
- Football 101: What is relegation in football?
- PGA Tour and Strategic Sports Group confirm player ownership offer
- Colombian gambling regulator controls gambling advertising and sponsorship
- Moody's raises outlook on Melco Resorts' credit rating
Source: www.casino.org