A new axis of opportunity, forged by a casino corridor, is rapidly taking shape across Central America.
From Panama’s financial hub to the Yucatán Peninsula’s sun-drenched northern coast in Mexico, casino development is attracting international attention due to its solid tourism fundamentals, digital gaming growth, and favourable regulatory climate.
As 2025 unfolds, investors seeking scalable, tourism-driven projects are focusing on this emerging region as the next strategic location in Latin America.
And Panama is leading the momentum.
With gross gaming revenue (GGR) reaching US$671.8 million (£501.08m) in the first quarter of 2025—an 11.3 percent, year-over-year, increase—Panama is solidifying its position as the financial and entertainment hub of the region.
iGaming
Digital platforms alone drove a 47.5 percent increase in online gambling revenue, reflecting both local demand and regional spillover potential. These numbers not only position Panama as a regional hub, but also as a case study for digital gaming integration in emerging markets.
This performance is part of a long-term national strategy, not an isolated event.
The JCJ (Panama’s Gaming Control Board) has reaffirmed its commitment to establishing Panama as a regional hub for gaming and digital entertainment, while the nation’s regulatory infrastructure, tax environment, and global connectivity, via Tocumen International Airport, fosters a climate of stability and scalability for investors.
Meanwhile, in Mexico’s southeastern states of Yucatán and Quintana Roo local governments are embracing tourism-driven development.
Already this year over US$259 million (£193.16m) has been committed to new luxury hotels, entertainment complexes, and mixed-use resorts. These developments are designed not only to host travelers, but also to extend their stays and diversify their experiences, including through licensed gaming.
Innovation
Cities like Cancún and Mérida in the region are reimagining their tourism offerings by blending cultural heritage, beach destinations, and modern entertainment to create a broader canvas for hospitality and gaming innovation.
Furthermore, a draft of a new federal gaming law developed in part through working groups with AIEJA (Mexico’s gaming association) suggests a potential future with unified, investor-friendly regulations. This would be a turning point for the country’s gaming landscape, attracting global players with the promise of consistency and investor protection.
Zooming out, Latin America’s role in global gaming is growing rapidly.
According to The Business Research Company, the global casino industry will grow from US$142 billion (£105.89bn) in 2024 to US$151.4 billion (£112.9bn) in 2025, with Latin American jurisdictions being among the fastest-growing segments.
Safe Bets
And thanks to their institutional maturity and growing middle class, countries like Panama and Mexico are increasingly seen as safe bets within the region.
From a tourism standpoint, the Panama–Yucatán corridor boasts ideal conditions, including year-round travel appeal, competitive labor markets, and growing demand for entertainment-focused hospitality.
Panama’s government, for example, is targeting an eight-to-12 percent increase in tourist arrivals this year; while Mexico’s Yucatán continues to attract a high-end traveler demographic who spend per person between US$250 to US$350 a day (£186.41/£260.96) — more than twice the Latin American average.
These figures demonstrate the quality and economic impact of the visitors drawn to what I describe as a casino corridor.
Economic impact projections reinforce this optimism.
The corridor could generate 20,000 to 30,000 direct jobs and an additional 60,000 indirect roles in hospitality, logistics, and construction.
In Panama alone, gaming and related sectors account for nearly five percent of GDP, and growth is expected to continue through digital transformation and cross-sector partnerships. These jobs would span a range of income levels and skill sets, contributing to social mobility.
Nevertheless, there are risks to monitor.
Strategic Advantages
Infrastructure saturation in the Mexican Caribbean, for instance, could erode profit margins if developments aren’t staggered properly, or if growth outpaces planning.
Although Panama offers a stable legal framework, Mexican investors must continue to navigate varying state laws until national regulations become more coherent.
Additionally, inflation and currency volatility are major concerns for global operators, particularly those managing cross-border operations and foreign exchange exposure.
Despite these challenges, the strategic advantages outweigh the constraints.
In an increasingly competitive global gaming landscape, the Panama–Yucatán corridor offers a rare combination of proven tourism ecosystems, scalable opportunities, and public–private alignment. The key for investors is to build strong local partnerships, design multi-format entertainment offerings, and ensure compliance with evolving regulations.
These elements will define the success of new entrants.
For investors seeking a next-generation market that bridges North and South America, which combines digital and physical assets and rewards early positioning, betting on the casino corridor may be the smartest decision of the decade.
