Banks’ first-half profit rises 1.9%

The local banking sector recorded a 1.9% year-over-year increase in operating results to MOP5.79 billion in the first half of 2026, according to data from the Monetary Authority of Macao (AMCM).

The sector’s net interest income rose 39.2% to MOP10.18 billion as interest expenses fell faster than interest income. Interest income declined 1.4% to MOP40.64 billion, while interest expenses fell 10% to MOP30.46 billion.

However, weaker revenue from other banking activities limited overall growth. Income from banking services and operations fell 12.4% year over year, while revenue from securities and stock investments dropped 66.3%. As a result, other banking business income declined 17% to MOP5.90 billion.

Meanwhile, provisions increased 30.6% year over year to MOP4.33 billion in the first half, contributing to a 17.7% rise in operating costs to MOP10.29 billion.

Despite stronger interest income, the increase in provisions and operating expenses, combined with weaker non-interest revenue, kept the sector’s overall operating-result growth modest during the period.

The figures indicate that Macau banks benefited from lower funding costs in the first half, but continued pressure on investment and service-related income weighed on their overall performance.