GGRAsia – Macau CE change no material impact on casinos: analyst

Macau CE change no material impact on casinos: analyst

Aug 22, 2024 Newsdesk Latest News, Macau, Top of the deck

Brokerage Seaport Research Partners says it does not expect “any material changes” to Macau’s gaming industry once a new Chief Executive (CE) is installed following an election due later this year.

On Wednesday, Macau’s incumbent Chief Executive, Ho Iat Seng (pictured in a file photo), announced that he would not run for a second term in the scheduled October poll.

“Due to health problems that have not yet been fully resolved, I have decided not to run [for the Chief Executive position] … in the best interests of the region, and in order to ensure the long-term development of Macau,” said Mr Ho in a personal statement, published by the Government Information Bureau.

Seaport analyst Vitaly Umansky said in a Wednesday memo that the announcement was “not surprising as Mr Ho has had reported health concerns for some time and had an extended leave in July.”

“At this stage, there is no clear obvious candidate for the job, but we expect the eventual Chief Executive to come from inside the government administration,” stated Mr Umansky.

“It is most certain that status-quo will likely be the main driver of the new Chief Executive, with the primary policy goals being continued,” including “support for the [city’s] gaming and hospitality industry”.

According to Seaport, the individual likely to take on the Chief Executive role “will be fully vetted and approved by the Chinese government and most likely will come into office with strong Macau government experience and an understanding of the importance of the gaming and hospitality industry to the economic well-being and future development of Macau”.

The institution suggested that potential candidates were the current Secretary for Justice and Administration, André Cheong Weng Chon; the incumbent Secretary for Security, Wong Sio Chak; and a person “more recently mentioned in local media,” the president of the Court of Final Appeal, Sam Hou Fai.

The nomination period for would-be candidates is set to run from August 29 to September 12, with the election scheduled for October 13. A new Chief Executive will be sworn in during December.