Gambling, though legalised here since 1996, has started coming into its own only with the rash of new casinos in the past year or two. Gambling revenues are blooming as never before. But, as the gaming houses spring up, often within easy reach of poor neighbourhoods, concerns are growing that the economic and social benefits of the casino industry may be outweighed by the problems it creates. Others say that though casinos are doing well, other commercial sectors are losing turnover as consumer spending patterns shift. The biggest losers in the long run could be retailers, insurance companies and national savings as more people find a taste for chance.
Gaming is one of the new big spending destinations.
Its impact is so pervasive that State-run Statistics SA plans to include gaming in future consumer inflation weightings. So retailers did not benefit as much as they could have. But gambling was not the only reason for the poor performance of retailers last year. Analysts say business and consumer confidence was at a historic low. Cell-phone spending also absorbed revenues from retailing.