{"id":33915,"date":"2022-09-29T07:00:38","date_gmt":"2022-09-29T10:00:38","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=33915"},"modified":"2026-04-23T04:27:24","modified_gmt":"2026-04-23T07:27:24","slug":"macau-gdp-could-fall-by-up-to-29-2-this-year-analysts-say","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/macau-gdp-could-fall-by-up-to-29-2-this-year-analysts-say","title":{"rendered":"Macau GDP could fall by up to 29.2% this year, analysts say"},"content":{"rendered":"\n

The University of Macau has predicted that economic growth in the city will decline by between 26.4 per cent and 29.2 per cent year-on-year.<\/p>\n\n\n\n\n\n\n\n

Macau.- The University of Macau’s Macroeconomic Forecast for Macau 2022<\/strong> predicts that gross domestic product (GDP) could fall by between 26.4 per cent and 29.2 per cent year-on-year.<\/p>\n\n\n\n

The report states: “In the first half of 2022, the economic conditions for Macau were extremely challenging. The Macau government was forced to maintain stringent travel restrictions due to the different degrees of Covid-19 epidemic in neighbouring regions.”<\/p>\n\n\n\n

According to the report, tourists will be unlikely to return to Macau if overly strict restrictions on travel are maintained<\/strong>. Analysts stressed: “Without tourism revenue, Macau\u2019s economy may not be able to develop normally.”<\/p>\n\n\n\n

In the second quarter of the year<\/a>, the city’s GDP fell by 39.3 per cent<\/strong> in real terms over the same period in 2021. Exports of services declined by 48.6 per cent year-on-year, and exports of gaming services and other tourism services by 69.6 per cent and 41.4 per cent respectively.<\/p>\n\n\n\n

Earlier this week, Macau\u2019s chief executive, announced that tour packages from mainland China will resume in November. Seng also announced the return of electronically-issued exit visas for Chinese residents, including the Individual Visit Scheme (IVS).<\/p>\n\n\n\n

Package tours will resume in phases<\/a> starting in November with Shanghai, Guangdong, Fujian, Jiangsu, and Zhejiang provinces. Macau\u2019s chief executive said he hoped the move could double the number of visitors to the city to 40,000 a day.<\/p>\n\n\n\n

DS Kim<\/strong>, an analyst at JP Morgan, has recently predicted the industry\u2019s mass GGR could recover to 25-30 per cent of pre-Covid-19 levels<\/strong> in the fourth quarter before increasing further in 2023.<\/p>\n\n\n\n

He added: \u201cMost operators can turn EBITDA [earnings before interest, taxation, depreciation and amortization] positive when mass GGR hits around 30-35 per cent of pre-COVID levels\u2026 indicating some companies can start to print positive profits from 4Q. \u201c<\/p>\n","protected":false},"excerpt":{"rendered":"

The University of Macau has predicted that economic growth in the city will decline by between 26.4 per cent and 29.2 per cent year-on-year.<\/p>\n","protected":false},"author":176,"featured_media":15644,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Macau's economy is projected to decline significantly, with GDP potentially falling by 26.4-29.2% year-on-year, primarily due to stringent COVID-19 travel restrictions severely impacting gaming and tourism services. However, the resumption of mainland China tour packages and electronically-issued exit visas in November offers a pathway to recovery, with analysts predicting mass GGR could reach 25-30% of pre-pandemic levels by Q4, enabling some operators to achieve EBITDA positivity.","focusai_entities":"University of Macau, JP Morgan, DS Kim","focusai_location":"Macau, China, Shanghai, Guangdong, Fujian, Jiangsu, Zhejiang","focusai_target_profile":"ceo_executive (0.9), regulator (0.7), operator_casino (1.0), marketing_crm (0.7), investor_analyst (1.0), supplier_vendor (0.8), journalist_researcher (0.9)","focusai_suggestions":[{"label":"GGR Recovery Timeline?","query":"What specific policy milestones or GGR recovery rates are anticipated to trigger further investment or expansion by Macau's concessionaires beyond the Q4 2023 projections?"},{"label":"EBITDA Breakeven Analysis?","query":"How do the projected EBITDA breakeven points for Macau operators compare across different concessionaires, considering their varying cost structures and market segment exposures?"}],"footnotes":""},"categories":[16338,163],"tags":[23906],"class_list":["post-33915","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-east-asia-news","category-finance-news","tag-macau-casinos"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/33915","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=33915"}],"version-history":[{"count":3,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/33915\/revisions"}],"predecessor-version":[{"id":33963,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/33915\/revisions\/33963"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/15644"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=33915"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=33915"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=33915"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}