Casino business sinks sans cash liquidity

PANAJI: Goa’s off-shore casinos are now sailing on choppy waters ever since Prime Minister Narendra Modi sprung the demonetization surprise on November 8. With limited available cash, people are wary of trying their luck on the casino vessels, which has forced many to shut their shop temporarily.
“The business has been low ever since the announcement was made and has not improved till now,” a casino employee shared, adding that the senior management has also rolled back the decision to allow payments in the demonetized currency which was allowed in the initial days.
“As the crux of the operations is based on exchange of currency in cash, there are not many customers now. Also, there is a short of 100 notes and even if one has a 2000 note, we are facing a problem in giving change,” the employee added.
Casino Pride’s management affirmed that the business has taken a hit following the news of demonetization and casino operations on the boats were shut temporarily as customers were inadequate.
“The casinos remained shut for 2-3 days as the business was low,” marketing manager of Casino Pride, Mary said, adding that the business has improved slightly following the introduction of 2000 note.
Several employees working in off-shore casinos confessed that discussion around rationalization of staff strength had already begun.
Chief minister Laxmikant Parsekar, whose government depends on revenue from casinos, has admitted that casinos in the state were likely to get affected by the demonetization decision.
The 11 casinos bring in one-third of Goa’s total entertainment tax. As per the records shared by the commissioner of commercial taxes, casinos generated 127 crores for the financial year 2015-16. A sure increase has also been projected as the prices of the entry tickets were also revised this year, increasing from 700 to 1,000.
Sources within the industry accepted that casinos had seen a significant drop in earnings, but expressed hope that the situation would normalize by December, the peak of Goa’s tourism scene.