(Xinhua/Cheong Kam Ka)

Economic forecasts for next six months more optimistic – Macau Economic Association

The Macau Economic Association has indicated that if in the next six months, normal travel conditions between Hong Kong and Macau resumes, mainland tour group visas are reinstated and online application the system for individual travel visas are restored, local economic recovery predictions would become more “optimistic”.

“Taking all factors into consideration, the research team raised the forecast value of the Macau Prosperity Index from April to June this year to between 3.4 and 3.5 points. Although it is still in the ‘subpar’ category, the economy is expected to further recover and continue to pick up in the second half of the year,” the association stated in its latest economic forecast report.

The entity had rate the economic prosperity index of Macau in February of this year at 3.3 points, with March at 3.4 points, only a small increase of 0.1 points from previous estimates.

“Except for the value of imports, the stock prices of the six major gaming companies, money supply, the employment and unemployment indicators, the remaining eight indicators of prosperity have improved although they are still at a ‘poor’ or ‘downturn’ levels,’ the report noted. 

Still, the association considered that with average daily gross gaming revenues for the first three months of 2021 at MOP259 million, MOP261 million and MOP268 million, respectively, an improvement trend could be observed.

“The pandemic situation in the mainland is stable, economic data continues to pick up, and mainland tourists who come to Macau for tourism and shopping are gradually recovering. In addition, after listening to the opinions of all sectors of society, the SAR government proposed optimization of the consumer stimulus plan,” the association added.

Following public opposition, local authorities presented an amended consumer stimulus package, which proposes that each permanent and non-permanent residents of all ages will receive MOP5,000 for immediate consumption and MOP3,000 in discounts per person, to be used between June to December.