GAMING REVENUE | Gov’t reiterates austerity measures may be implemented

Lionel Leong

The government has yet again reiterated that it will implement austerity measures if monthly gaming revenue drops to below the average monthly gross gaming revenue of MOP20 billion, according to a statement issued by the Secretary for Economy and Finance’s office.
Data released by the Gaming Inspection and Coordination Bureau (DICJ) yesterday shows that gross gaming revenue fell by 34.5 percent to MOP18.6 billion in July.
The Secretary for Economy and Finance, Lionel Leong, said that the gaming revenue is still within the levels estimated by the government for this year’s amended Budget Law. Since gaming revenue is still higher than the average monthly gross gaming revenue of MOP20 billion, the government will not be implementing austerity measures at this particular stage, the secretary said.
Nevertheless, he recalled that it is still unclear how Macau’s gaming industry will develop in the coming months. Thus, the government will remain cautious in its spending and will be closely monitoring the industry’s performance.
Authorities reiterated that austerity measures would not have an impact on current social welfare policies. As a result, cash handouts and public investment plan (PIDDA) policies for the current year will not be subject to any changes.
The Chief Executive has said that the region’s finances remain stable and the MSAR’s financial reserves are strong enough to cope with “unexpected incidents or situations arising from economic fluctuations.”
The government has acknowledged that the gaming industry’s development will continue to be clouted by unpredictable factors in the near future. They will therefore be closely monitoring gaming operators, especially relating to casino operations within VIP rooms, while urging gaming companies to ensure that  employment opportunities remain stable.
Still according to the authorities, the development of other sectors, such as tourism, MICE, regional trade and young entrepreneurship is satisfying. The local administration has pledged to continue pushing for economic diversification. CP