The US state of New York is planning to amend its constitution to allow commercial casino gaming.

New York New York

Governor Andrew Cuomo, Senate Majority Leader Dean Skelos and Assembly Speaker Sheldon Silver announced a landmark agreement to begin the process on Wednesday.

Lawmakers are planning to allow as many as seven privately owned commercial casinos in New York, adding to the five native America gaming properties and nine racinos already in operation.

Governor Cuomo said the move will stimulate the economy and ensure that vital leisure dollars remain in the state.

"By taking these important first steps to legalise casinos we are finally confronting the reality that while New York is already in the gaming business, we need a real plan to regulate and capitalise on the industry," he said. "This is a process that will ultimately put thousands of New Yorkers to work, drive our economy and help keep billions of dollars spent by New Yorkers on gaming in the state."

New York presently has 29,000 electronic gaming machines, more than Atlantic City and more than any state in the north-east or mid-west.

The State Assembly and Senate must now pass legislation that begins the process of amending the state constitution, which will then be voted on by the next legislature and then ratified by the public. The earliest a public referendum can be held is 2013.