Macau publishes plan for economic diversification

Macau aims to promote creative, non-gaming industries.
Macau aims to promote creative, non-gaming industries.

Macau has released its Second Five-Year Plan for Economic and Social Development for the 2021-2025 period.

Macau.- The government of Macau has issued its “Second Five-Year Plan for Economic and Social Development for the 2021-2025 period”. The plan proposes measures to accelerate a proposed economic diversification and cooperation with other regions.

Regarding the future of the gaming industry, the plan reportedly says authorities hope to increase the mass market proportion of gaming revenue and to analyse requests to increase gaming tables.

In 2019, premium mass accounted for 30 per cent of the city’s gaming revenue of MOP295bn. Base mass tables accounted for 25 per cent, slot machines/ETG 6 per cent, with VIP still leading at 39 per cent.

Plans for the diversification of Macau’s economy

The report reveals authorities want to promote industries such as medical and health, modern finance, high-tech, exhibition and trade, and culture and sports. The plan points out that while ensuring the stable development of the gaming industry, Macau needs to promote the development of creative and distinctive non-gaming industries to attract more international and diversified tourists.

A few months ago, Pedro Cortes, managing partner at law firm Rato, Ling, Lei & Cortes, and Antonio Lobo Viela, an advisor on gaming-related matters, issued a research paper proposing requirements for operators to help the diversification of Macau’s economy.

Analysts also suggest there should be a requirement for proposals for investment in the Guangdong-Hong Kong-Macau Greater Bay Area (GBA) to create an international world-class tourism destination, recognising the uniqueness of Macau’s cultural and social resources.

Authorities are currently reviewing the city’s gaming law. According to local media reports, authorities in Macau want to end the current sub-concession system that led to the creation of three additional Macau casino licences. The government also wants to increase the oversight of gaming concessionaires and junket operations, but it will maintain at least six gaming concessions.

A final report on the public consultation sessions held in November is being written, after which a draft will be submitted to the Legislative Assembly for additional conversation. 

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