MACAU

Gaming share of GDP reached 36.2 pct in 2023 – CE

By

 Newsdesk

Chief Executive (CE) Ho Iat Seng said on Sunday that the gaming industry accounted for 36.2  per cent of the SAR’s gross domestic product (GDP) in 2023, within the economic diversification targets set by the government.

The head of government was speaking at a press conference where he summarised the 7-day visit of the top Beijing official in charge of Macau and Hong Kong affairs, which concluded on Sunday.

Ho indicated that while the gross added value of the gaming industry is set to increase in 2024, the aim is to ensure it does not exceed 40 per cent, in line with the 2024-2028 economic diversification blueprint unveiled last November.

“While the GDP will continue to increase, we hope to keep this share [gaming industry] at around 40 per cent, with non-gaming activities taking 60 per cent,” the Chief Executive said.

Macau Chief Executive Ho Iat Seng at a press conference at the Government Headquarters on May 19 following Xia Baolong’s visit

Gaming revenue reached a peak of 63 per cent of the city’s economic output between 2011 and 2013, the year gross gaming revenue (GGR) reached a record high of MOP360 billion (US$45 billion).

In the last pre-pandemic year of 2019, the share of gaming revenue had decreased to 51 per cent, with GGR standing at MOP292 billion.

After the three-year pandemic hiatus, Macau’s economy recovered last year to 80 per cent of the output recorded in 2019, with GGR reaching MOP183 billion. The latest forecast by the International Monetary Fund predicts a GDP growth rate of 13.9 per cent.

The government estimates that 2024 will see a total GGR of MOP216 billion.

The SAR’s economic diversification plan focuses on the “1+4” strategy, with “1” referring to integrated tourism and leisure and “4” to designated emerging industries: traditional Chinese medicine (TCM) big health, modern financial services, high technology, and convention, exhibition, trade, culture, and sports.

Ho emphasised that the MSAR Government will, in accordance with Xia’s instructions, “make good use of Macau’s six advantages in order to promote the city’s continuous development and polish the ‘golden business card’ of Macau as an international metropolis.”

Xia Baolong visiting Macau. Photo by GCS

The CE added that local authorities “will intensify its efforts in developing foreign tourist source markets, in order to attract a greater number of international tourists to Macau”, while striving “to promote the distinctive and unique characteristics of Macau’s integration of Chinese and Western cultural elements, and organise additional large-scale promotional activities.”

The six advantages singled out by Xia Baolong during his visit are: the institutional advantage of the “One country, two systems” principle; sufficient development space; a highly internationalised business environment; a strong economic foundation; a unique blend of Chinese and Western cultural characteristics; and a traditional passion of patriotism and loyalty. 

Xia Baolong is the director of both the Hong Kong and Macao Work Office of the Communist Party of China Central Committee and the State Council’s Hong Kong and Macao Affairs Office.