EDANZ

Could Online Gambling Regulation Boost New Zealand Economy?

Online Gambling New Zealand

It is no secret that the gambling industry in general is worth billions and the online segment of the industry is growing every day. The ease of access online casinos are capable of providing coupled with other incentives such as bonuses and the constant influx of new games make online gambling a dream come true for players all around the globe.

New Zealand is definitely no exception in this regard as Kiwis are well-known for their love of slot machines or pokies as they like to call them. There are dozens of online casinos out there right now that will pop out if you Google “no deposit casino bonuses” targeting specifically NZ gamblers, such as:

New Zealanders are welcome customers at online casinos across the board.

At this point in time, however, online gambling remains unregulated in the country, which potentially costs the government hundreds of millions in potential tax revenues. With online casinos catering to Kiwis located offshore, the country is missing out on an important piece of the pie, which could serve as a serious boost for the New Zealand economy.

Outdated Laws That Need Updating

Currently, online gambling in New Zealand is regulated by the Gambling Act of 2003, a group of laws and legislations that have outlived its purpose in many areas. Internet gambling is definitely one such area, where the Act prohibits operators from setting a shop inside the country borders but players are free to play as much as they like with offshore sites.

This creates a situation where pokie-loving Kiwis have to look for their source of entertainment at any of a number of sites situated around the globe. To the players, it isn’t too much of a difference, since many high-profile and trustworthy sites offer their services in New Zealand. For the country, however, these sites offer nothing of substance.

Many countries around the world have realized this very problem and have moved to update their gambling laws, requiring operators to either set up local shops or acquire local licenses if they want to stay in the market. In most instances, this has proven to be the right move, as licensing fees and tax incomes have boosted budgets of these countries.

An Opportunity Ripe for the Taking

With online gambling being as popular as it is in New Zealand, the government should definitely look into updating existing laws and setting up a structure where the country actually benefits from the operators earning profits from their citizens. A market as big as the NZ one would stay attractive even if laws were to be updated so all the serious players would likely adopt and stick around.

Apart from providing the budget with a nice cash injection, the regulation would give players a more regulated and safer playing environment, weeding out all the “bad apples” and leaving behind only serious and capable operators.

So, overall, a reform to online gambling laws would be useful across the board. While lawmakers are often slow to get down to work and change things that need changing, this is one of those things that doesn’t require that much effort and could produce excellent benefits, so there is really no reason to delay it any further.

New Zealand’s Economy Growth Exceeds Expectations for the Second Quarter

The country’s economy has grown faster than what is expected for the second quarter despite gloomy forecasts. Despite a fall in business confidence, the strong pull of the agricultural and service sectors countered this.

A 1% rise in Gross Domestic Product was seen in the last three months ending June, the strongest it’s ever been in the last two years. This rise can be largely attributed to the service industry, followed by the goods-producing industries.

The agriculture sector in the country has consistently led to economic growth contribution with an accounted rise of 4.1% with dairy products production, forestry exportation, and cattle raising. The same upward trend was seen for real estate, telecommunications, and tourism.

Only business investments were seen to have a slight fall, but not enough to cause worry. Business confidence dropped by a 10-year low, while consumer sentiment during the third quarter saw the lowest in the last six years.

However, data show that business investment performance was still above outlooks. This has prompted the Reserve Bank to hold on to current interest rates for the near future. However, it is also keeping a close watch on further developments and whether the current quarter will still see the same performance.

With this good economic performance, the NZ Dollar also fared well against the US Dollar, increasing by as much as quarter of a cent against its counterpart.