Financial Secretary urges Macau to study diversification

The Covid-19 outbreak in Macau is a lesson for the city to learn about the importance of economic diversification, Lei Wai Nong, Secretary for Economy and Finance, told the government’s daily press conference yesterday.
It has been about three weeks since the secretary last presented himself at the daily press conference.
“The current outbreak has given us an important lesson: a narrow economy leads to a narrow employment market,” the secretary said. “Once the tide comes, it gets extremely bumpy.”
The secretary believes that economic diversification is a must. “Economic diversification must be faced and must be faced now,” the secretary emphasized. “I’ve seen many intellectuals give their opinion. I encourage the public to do so too, from which we can see more possibilities to diversify our economy.”
Many small to medium sized enterprises have petitioned the government for further relief measures. The financial head said that the government must consider benefits to help people from all walks of life. People should benefit from the measures fairly.
“We should see the whole picture when we make our policies,” the secretary stressed.
He was reminded that the relief measures might have overlooked an expanding group of self-employed freelancers, which is an emerging profession in Macau. Many of these freelancers work in new areas, such as e-sports development.
The secretary was confident that his team is doing enough work to support this group. “The scope of the self-employed can be wide. They can be lawyers or taxi drivers,” the secretary pointed out.
“Considering the difficulties now faced by the self-employed, I think the most effective way is by contacting the Labor Affairs Bureau, which offers job-matching services,” the secretary elaborated. “We hope they can have a job stability, so that they can solve the current challenges.”
The main reason the secretary appeared at yesterday’s press conference was to disclose further details on the anticipated e-coupon measure. It was confirmed that the government had assigned Macau Pass to manage the service.
For the time being, there are about 13,000 points of sales installed with the Macau Pass payment gateway in Macau. The number is expected to rise as the government rolls out the relief measure, in addition to the government’s ongoing encouragement of local retailers to install the payment console.
A special Macau Pass card will be issued for this campaign, after which the card will remain functional. Registration will start this month, with cards being issued in April for use between May and July.
All Macau ID holders – permanent or non-permanent – will be eligible for the relief measure. Each registered ID holder will enjoy a MOP3,000 spending limit, with a daily cap of MOP300.
When asked why he was confident that the campaign could roll out in May, the secretary noted it was just a schedule. “We need a direction to relieve the public,” referring to the fact that the community is expected to hear details of the campaign.
Thirty-two government public service points and 130 bank outlets will help with the distribution of cards, “in order to avoid people crowding,” the secretary explained.
People have raised concerns that Macau Pass will be able to obtain the personal data of individuals. The secretary reassured the press that Macau Pass would obtain no personal data. “The registration process is conducted by the Monetary Authority,” Lei said.
When a registered resident collects the card, the ID number will be scanned. The secretary did not explain why this step would be required, nor did he explain who would provide the machine used to scan the ID card.
The secretary also advised that a previously announced policy whereby the government would cover the water and electricity bills for the three-month period from March to May for all Macau private households would be extended to cover companies, excluding casinos and 3- to 5-star hotels.
In contrast to the unlimited coverage, companies will enjoy as much as MOP3,000 for water and a MOP10,000 monthly allowance for electricity use. The programs are expected to cost the government MOP1.8 million and MOP240 million respectively.
Another topic of great concern in the community is the possibility of an extra cash handout, which was considered unlikely by the financial policymaker. Macau has a financial reserve of MOP570 billion. Lei expects this year’s financial deficit could go up to MOP40 billion. However, he expressed his belief that the cash handout policy will continue into next year.
Lei also referred to the proposed financial relief measures. Citizens will be able to enjoy as many as nine types of allowances, while enterprises had access to 11 types. The secretary once again emphasized that it was made possible due to the foundation of Macau’s financial reserve.
The financial head is confident that when the situation improves, tourists will return to Macau. He also added that it would be unlikely that gambling tax is cut, as it is a legally stipulated policy and any change will require it be passed by the legislature.

First quarantined workers enter

The first batch of mainland non-resident workers who were required to be quarantined at a designated hotel in Zhuhai entered Macau yesterday after completing their 14-day quarantine period. The measure was enacted jointly by the Macau and Zhuhai authorities on February 20. Workers who have been in the mainland within the past 14 days were required to undergo quarantine. They were then given a no-infection certificate by the Zhuhai authority. Afterwards, they were driven directly to Macau by charter vehicles to avoid any possible infection. As of 4 p.m. on March 4, some 1,114 people had been quarantined.