Thailand reviews N3 lottery’s impact on underground gambling

The Government of Thailand is reviewing the effectiveness of its three-digit lottery ticket, known as N3, to determine if it can counteract the prevalence of underground lotteries.

Deputy Finance Minister Julapun Amornvivat revealed that the Government Lottery Office (GLO) is currently conducting a trial of N3 tickets through a sandbox system, with two rounds already underway. However, the trial has not yet achieved the desired outcomes set by the government.

Julapun highlighted that one of the significant issues is the relatively low prize value of the N3 lottery, which has failed to attract buyers. In contrast, underground lotteries offer more flexible payment options, such as credit-based purchases or deferred payments, which are not available with the GLO’s system.

Consequently, a decision is required on whether the N3 lottery can effectively combat the underground lottery market.

With the N3 lottery still in its experimental phase within the sandbox system, no final decision has been made on its continuation. The government plans to observe the lottery for an additional two to three months to assess any challenges, its popularity, and its potential to replace underground lotteries.

Julapun stated that if the N3 lottery begins to compete with the six-digit lottery (L6), available in both paper and digital formats, its feasibility and sustainability will need reevaluation.

“The goal of the N3 lottery is not revenue generation. If it’s deemed inefficient, its sale can be discontinued, as it is still in the sandbox phase, I instructed the GLO to monitor the performance of the N3.”

In relation to the digital L6 lottery’s recent draw on November 16, which saw nearly one million tickets unsold, Julapun expressed this as a temporary issue rather than a structural one. He pointed out that lower demand could be attributed to external factors like recent floods and increased public spending during the Loy Krathong festival, impacting disposable income.

The government initiated the pilot phase of the N3 lottery last month with the dual aim of addressing lottery overpricing and curbing the underground lottery gambling market.

In Thailand, underground lotteries are estimated to generate between 100 billion and 300 billion baht annually. The GLO aims to capture a share of this lucrative market through the introduction of the N3 lottery, reported Bangkok Post.