171 registered firms closed in Q2
Companies in dissolution totalled 171 in the second quarter, and the value of registered capital of these companies amounted to MOP27 million, according to data from the Statistics and Census Service (DSEC).
The business sector has faced renewed headwinds under the recent Covid-19 pandemic outbreak that led to the city’s partial lockdown.
A total of 261 small and medium enterprises (SMEs) which benefited from government support measures have already closed their doors due to bankruptcy, data from the the Economic and Technological Development Bureau (DSEDT). The bureau noted that 80 of these shutdowns were recorded in just the first three months of 2022.
According to the report, 181 companies from a total of 8,354 which benefited from the SME Aid Scheme, one of the most popular support programs, have already gone bankrupt, representing 2.7% of the total number of approved enterprises.
In the first quarter of this year, companies in dissolution totalled 208, and the value of registered capital of these companies amounted to MOP49 million.
However, when compared year-on-year, the number of newly established firms during this year’s first quarter decreased to 1,095.
Several SMEs were also reported to have to face the pressure of landlords not decreasing their rent while operations of their business are restricted.
According to a sector representative from the Industry and Commerce Federation of Macau Central and Southern District, two-thirds of local SMEs are already considering ceasing operation because of the pressure they face.
Meanwhile, a total of 923 new companies were incorporated in the second quarter of 2022, a decrease of 518 year-on-year.
Number of new companies operating in Wholesale & Retail Trade (346) and Business Services (237) went down by 121 and 151 respectively, according to data from the DSEC.
The total value of registered capital of the new companies rose by 39.2% year-on-year to MOP322 million, attributable to the incorporation of new companies with relatively large capital in Business Services and Financial Activities during the quarter.
In terms of origin of capital, mainland China contributed MOP251 million (78.0% of total) to the capital of newly incorporated companies; capital from the mainland cities in the Greater Bay Area totalled MOP154 million, of which Zhongshan accounted for 53.0%.
Moreover, capital from Macau and Hong Kong stood at MOP62 million and MOP6 million respectively. Analysed by combination of shareholders, 646 companies were established solely by Macau shareholders, while 96 were joint ventures between shareholders from Macao and other countries or regions.
Analysed by size of registered capital, there were 642 new companies (69.6% of total) registered with capital under MOP50,000, and the value of capital (MOP17 million) made up 5.2% of the total. Meanwhile, 22 new companies were registered with capital of MOP1 million or over, and the value of capital (MOP257 million) constituted 79.8% of the total.
