Casino and tourism - why the market is narrow

Casino and tourism: why the market is limited (Barbados)

1) Short answer

Barbados lacks large land-based casino resorts. The country's legal fabric has historically targeted licensed slot machines/halls, lottery and horse racing betting - rather than full-fledged casino complexes. Basic acts either directly suppress "gaming houses," or regulate in detail only machines and "approved premises."

On the tourist Internet, they often repeat the wording "casinos are illegal, there are no casinos on the island" - while small gaming halls/arcades for Cap can work. 134A, as well as casinos on board cruise ships (see § 4).

2) What the law says (and what is not in it)

Gambling Act, Cap. 134 - the "skeleton" of the British tradition: definitions and prohibitions, including the concept of common gaming house (socially accessible "gambling houses"), procedural powers. This sets a high threshold for a classic land-based casino.

Betting & Gaming, Cap. 134A - about gaming machines, arcades and licensed premises (approved premises), as well as charity lotteries/bets. Here is the operational contour of small formats, but not integrated IR casinos.

Conclusion: in the current acts there is no regime for large casino resorts (as in the Bahamas or the Dominican Republic) - accordingly, the market "collapses" into halls with machine guns, lotto and sweepstakes.

3) Demand economics: "small island, big season"

Even with strong tourism, the demand structure is limited by the scale of the country and logistics: the annual flow of stayover tourists in 2023 amounted to ~ 636.6 thousand (the main markets are the UK and the USA). This is good traffic for lotto, halls and a racetrack - but not enough for the payback of mega-resorts-casinos of the Bahamas/DR class.

4) Important nuance: casino on cruises - you can in the port

In 2012, a special Cruise Ships (Opening of Facilities) Act was adopted: it allows you to license the operation of a casino on board a cruise ship when it is moored in the port of Bridgetown (with the permission of the Minister and in consultation with the Betting & Gaming Committee). This is an exception to the "neutral waters only" practice typical of the world.

💡 What it changes: Some of the tourists "gaming demand goes on board without creating a base for a land-based casino. Indirect expenses (F&B, excursions) remain on the shore, and "game revenue" - at sea/on the liner.

5) Competition of the region: nearby - "heavy" jurisdictions

Bahamas: modern Gaming Act 2014, resort casinos for foreign guests, a large resort product. Tourists focused specifically on casino vacations fly there.

Dominican Republic: formalized online (Resolution 136-2024) and is developing mass resort formats; it's easier for investors to scale the casino product there.

Consequence: a regional alternative with large projects reduces the incentive to deploy IR casinos in Barbados.

6) Cultural and legal "DNA" of Barbados

The island traditionally relies on:

racetrack and sweepstakes, the national lottery as a "social contract" with sports, licensed halls with cars instead of tables and full-fledged casinos.
Such a "chamber" profile corresponds to both heritage (Garrison Savannah) and legal framework (Cap. 134/134A), and the scale of tourism.

7) What it means for the tourist and business

For the tourist. On the island - lotto/scratches, halls with cars, events at the hippodrome; "large casino" you will find on the liner or in neighboring countries. If you are on a cruise, please note that according to local law, a casino on board can even operate in the port - under license.

For business. Without a separate casino act and with a chamber economy of demand, the IR model looks unprofitable. Working niches - hippodrome/events, halls with cars, retail lotteries and partnerships with cruises.

8) Possible scenarios before 2030

1. Status quo "small formats": halls, sweepstakes, lottery; growth due to tourist flow and UX (self-service, cashless).

2. Point liberalizations (advertising, hotel rooms) without IR casinos are most likely within Cap. 134A.

3. A rare scenario: a separate casino act with one or two licenses for a resort (low probability without an explicit investment case and infrastructure package).

9) Why a "narrow" market is not a minus

Corresponds to the identity of the island: chamber formats, sports, communities.

Managed risks: It is easier to control RG/AML at small sites.

Fiscal predictability: taxes and fees come from the usual channels (lottery, halls, bets), without the "swing" of the IR model.

The land-based casino market in Barbados is limited by a combination of legal frameworks (Cap. 134/134A), a "chamber" demand economy and a strong cruise alternative. The 2012 law even highlighted the priority of "casinos on board," allowing them to operate in the port under license - another argument in favor of the island's non-IR strategy. For the tourist, that means opting for a racetrack, lotto, lounges and cruise casino; for business - focus on small formats and events instead of large casino resorts.