• About Us
  • The Team
  • Advertise with Us

The latest news on the gaming industry in Asia

() () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () ()
  • Home
  • Macau
  • Philippines
  • Singapore
  • Japan
  • Rest of Asia
  • World
  • Industry Talk
  • Trends & Tech
  • iGaming
  • follow
    • Facebook
    • Twitter
    • RSS Feed
    • LinkedIn

Gaming focus makes Macau diversification urgent: IMF

Apr 13, 2022 Newsdesk Latest News, Macau, Top of the deck  


Gaming focus makes Macau diversification urgent: IMF

Macau’s continuing “overreliance” on gaming, and the ongoing potential for setbacks in recovery of the tourism sector from the Covid-19 pandemic, makes the city’s economic diversification an urgent task, says an International Monetary Fund (IMF) report now published in full.

In a summary version, issued in late January, the body had already said it expected Macau’s gross domestic product (GDP) to expand 15 percent this year.

In the full version, agreed with the Macau authorities on March 29, and made public on Tuesday (April 12), the IMF said this year’s GDP expansion was likely to be 15.5 percent.

But the report noted: “Despite a strong policy response, the pandemic took a large toll on the Macau SAR’s economy, highlighting the need for economic diversification.”

The IMF said that amid pandemic-related disruption to inbound tourism, there had been some “collapse” in economic activity, “mostly on account of weak services exports,” and this had “highlighted the Macau SAR’s overreliance on the gaming industry”.

It noted that Macau’s “social protection” spending – including support for the less well-off – “remains relatively low” when compared with the Organisation for Economic Co-operation and Development (OECD) average.

But the IMF stated that Macau’s public-policy spending commitments at a time when its keystone tourism industry was underperforming, meant the city was likely to see a smaller current-account surplus this year.

A number of commentators highlighted to GGRAsia late last year, that the city’s public finances were likely to be affected, if VIP gambling were no longer making a significant contribution to the city’s tax take.

“Due to the still relatively low tourism receipts, the current account surplus in 2021 is estimated at less than half of its pre-crisis level,” said the IMF.

The report added that “large downside risks remain” for Macau. A “resurgence” of the Covid-19 pandemic in terms of its impact on the city’s economy, “could stall the Macau SAR’s near-term recovery and undermine the medium-term viability of the gaming sector”.

The IMF added: “Some uncertainty remains regarding the proposed amendments to Macau’s gaming law, which in combination with the recent ban on the gaming services’ marketing in the mainland, clouds the outlook of the gaming sector.”

The body said that advancing the government’s economic diversification agenda would “require investments in skill building and infrastructure, including for digital
 infrastructure, enhancing the effectiveness of public institutions, and improving the business environment”.

The IMF said it expected Macau’s GDP growth “to accelerate to 23 percent in 2023 before gradually converging to its long‑term potential of around 3.5 percent over the medium term,” but that the level of GDP was “expected to surpass its pre-crisis level only in 2025″.


  • tweet
Related articles
  • Singapore visitor tally in year to April beats full-2021
    Singapore visitor tally in year to...

    May 25, 2022  

  • New gaming licences to boost Macau GDP in 2023: IMF
    New gaming licences to boost Macau GDP...

    Jan 25, 2022  

More news
  • Macau hints at performance element for satellite ops
    Macau hints at performance element for...

    May 27, 2022  

  • Off timing in cash-strapped SJM buying Oceanus site: JPM
    Off timing in cash-strapped SJM buying...

    May 27, 2022  


Latest News

Macau hints at performance element for satellite ops

Macau hints at performance element for satellite ops

May 27, 2022  

The Macau government hinted on Friday it might under the proposed update to the city’s gaming framework, permit some kind of performance-related system – linked to “turnover”...
Read More
Off timing in cash-strapped SJM buying Oceanus site: JPM

Off timing in cash-strapped SJM buying Oceanus site: JPM

May 27, 2022  

RWS non-gaming offer Minion Land pledged to open 2024

RWS non-gaming offer Minion Land pledged to open 2024

May 27, 2022  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Pick of the Day

”The decision of Pagcor finding Suncity Group Manila and Mr Chau unsuitable is currently in effect”

Philippine Amusement and Gaming Corp



Most Popular

  • Alvin Chau indicted for illegal gaming, money launderingAlvin Chau indicted for illegal gaming, money laundering May 26, 2022
  • Marina Bay Sands to hire up to 2,000 workers: firmMarina Bay Sands to hire up to 2,000 workers: firm May 26, 2022
  • SJM to acquire Oceanus building for US$243mln in bondsSJM to acquire Oceanus building for US$243mln in bonds May 27, 2022
  • Macau satellites seek biz model leeway, says Ponte 16 bossMacau satellites seek biz model leeway, says Ponte 16 boss May 26, 2022
Copyright 2014-2022 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us