Economy grows 10.3 percent in Q1

The economy of Macau expanded by 10.3 percent year-on-year in real terms in the first quarter of 2017, according to information released yesterday by the Statistics and Census Service (DSEC).

The growth last quarter, which was significantly higher than the 7 percent year-on-year increase recorded in the fourth quarter of 2016, was attributed by DSEC to an improvement in investment and the export of services, as well as a relatively lower base of comparison in the first quarter of 2016.

During the last quarter, the export of gaming services and other tourism services grew by 11.3 percent and 20.9 percent year-on-year respectively, while the export of goods rose by 9.7 percent.

Meanwhile, private consumption expenditure and government consumption expenditure grew by 1.6 percent and 4.8 percent in the period.

DSEC attributes the marginal growth in private consumption expenditure to the stable employment situation, easing inflation and festive seasonal sending. The increase marked a reversal on the downward trend recorded in the preceding quarter.

As for government compensation expenditure, the 4.8 percent year-on-year increase was led by an increase in employee compensation (+3.7 percent) and in the net purchases of goods and services (+6.5 percent).

Separately, in terms of government investment, public construction and equipment investment jumped by 73.9 percent and 132.6 percent year-on-year, leading to “an apparent growth of 75.3 percent,” according to DSEC.

In the first quarter merchandise trade rebounded. With the year-on-year increase in private consumption, investment and visitor spending, export and import of goods rose by 9.7 percent and 5.2 percent respectively, ending five consecutive quarters of decline.