Macau GDP dips in Q1
GDP fell by 1.3 per cent year-on-year.
Macau.- The Macau Statistics and Census Service has reported that gross domestic product (GDP) for the first quarter of the year was down 1.3 per cent year-on-year to MOP99.78bn (US$12.45bn). That’s 85.2 per cent of first-quarter 2019’s figure.
Visitor arrivals rose by 11.1 per cent in the first quarter of the year, but exports of services decreased by 3.8 per cent in real terms due to a decline in other tourism services resulting from changes in visitor consumption patterns. In domestic demand, gross fixed capital formation, government final consumption expenditure and private consumption expenditure rose by 7.8 per cent, 1 per cent and 0.6 per cent respectively.
The government said: “Since the beginning of this year, the global environment has been marked by volatility and challenges, with subdued growth momentum for the world economy and increasing uncertainties in China-US relations. Rapid shifts in visitor consumption patterns, preferences, and demographics have weakened spending sentiment among visitors to Macau.
“The decline in visitor expenditure has exerted pressure on the local tourism industry, contributing to fluctuations in Macau’s economic recovery in the first quarter of the year. Nevertheless, the economy of Macau has maintained an overall recovery trend, with stable public finances and a positive outlook. On the whole, barring major changes in external and internal conditions, Macau is unlikely to face a cyclical economic downturn and is expected to sustain its recovery momentum.”
The announcement comes after the International Monetary Fund (IMF) downgraded its forecast for Macau’s GDP growth this year from 7.3 per cent to 3.6 per cent. For 2026, the IMF has adjusted its projection to 3.5 per cent.
During the first three months of the year, Macau collected MOP22.20bn (US$2.78bn) in taxes from casino operations. The figure was up 0.2 per cent in year-on-year terms. The figure for March was MOP7.95bn (US$994.5m).
Cumulatively, GGR for the first quarter the year was MOP57.66bn (US$7.20bn), up 0.6 per cent from the prior-year period. Tax revenue figures cannot be directly compared because there is usually a delay between when GGR is documented and when the government recognises the tax as being paid.
