Not a question of if, but when

Source : Today - 18 Nov 2008

IRs expected to meet economic targets, albeit with impact from crisis THE promise, when the Government decided to allow the Integrated Resorts (IRs) in, was a $1.5-billion increase in our Gross Domestic Product (GDP) and 35,000 new jobs - but will these economic rewards now materialise? And if so, when?

In response to questions by Nominated MP Eunice Olsen and Non-Constituency MP Sylvia Lim yesterday, Senior Minister of State for Trade and Industry S Iswaran said the projection remains that the Marina Bay and Sentosa IRs, when they are “fully developed and running”, will achieve their economic targets and create as many as 40,000 jobs.

But whether these will be achieved by 2015 - as originally expected - “is something we will have to study and see”, he said.

“It would be fair to say that due to the global financial crisis and the slowdown already evident in our tourism sector, there may be some impact on the integrated resorts’ business when they open.”

Another issue: Marina Bay Sands (MBS) had announced that its proposed casino floor plan, which had upped the number of gaming tables from 600 to 1,000, had been approved. Ms Olsen wanted to know if the Government had made concessions to its original position.
Mr Iswaran noted that the provisions stipulated all along that up to 15,000 sq m of MBS - within the 3 to 5-per-cent limit of their over 500,000 sq m total area - could be set aside for gaming activities. There has been no change, he added, reiterating that “each development will open as an IR and not just as a stand-alone casino”.

Both MBS and Resorts World at Sentosa have requested for a “progressive opening” and their proposals are now being “carefully considered” by the Singapore Tourism Board (STB) and other government agencies, reiterated Mr Iswaran.

Both IRs had given assurances that they have secured project financing, he added, and the STB will “continue to work closely” with the operators to facilitate the developments’ completion.

Ms Olsen asked if the assurance that taxpayers’ money will not be used to bail out the IRs, can be interpreted to mean that Temasek Holdings will not step into the picture. Mr Iswaran reiterated that would be a commercial decision to be made by Temasek.