Casino revenue reports five-month high in Macau
The revenue from casinos in Macau hit a five-month high in May to €2.8 billion.
Macau.- Macau’s Gaming Inspection and Coordination (DICJ) has reported that casino revenue in May totalled €2.8 billion. This figure announced by the city’s regulator is the highest revenue reported this year.
Gambling revenue in Macau hit a five-month high in May, despite a slower demand from high rollers and a slowdown in Macau’s economy. The US$3.21 million registered last month were higher than the €2.8 billion from May 2018, and also up from April’s €2.6 billion.
Despite being one of the biggest gaming hubs in the world, Macau operators are focused on ploughing billions in non-gaming attractions. This is part of an effort to make Macau a family-friendly destination.
April GGR results
Macau GGR dropped to €2.6 billion in April, down 8.3% year-on-year. The amount meant the segment contracted 2.4% in the first four months of the year with an €11 billion GGR. Forecasts for the gaming industry in the Chinese territory of Macau haven’t been very positive in the recent past.
Most recently, Fitch Ratings revealed it expects Macau gaming gross revenue (GGR) growth to be flat to low in 2019. The firm explained the industry will be negatively impacted by mainland China’s economic situation. As it decelerates, GGR will be impacted in the territory.
IMF projects a 4.3% growth in Macau
The International Monetary Fund (IMF) said that growth is projected at 4.3% in 2019 and will likely remain solid over the medium term at about 4%. The IMF said that the main driver of projected medium-term growth is tourism, with non-VIP tourism further expanding. It also said that there will be more subdued VIP gaming growth. According to the IMF, this is in line with Macau authorities’ diversification efforts towards more stable sources of growth.
The IMF said that Macao SAR is the largest casino centre in the world and gaming tourism drives its growth. Executive directors commended the macroeconomic performance over the years, which has resulted in one of the highest per capita incomes in the world with zero public debt levels.
