Monaco eyes strong ties with Macau to be ‘door to Europe for GBA’

Marie-Pascale Boisson

An ambassador Extraordinary and Plenipotentiary of the wealthiest European state, Monaco, was this week on a Macau visit in hopes of bolstering ties and investments between the two regions.

In the SAR to woo investors and offer greater networking opportunities, Monaco’s ambassador to China, Marie-Pascale Boisson, along with Frederic Genta, a high-ranking official from the wealthy principality, expressed a bid to “be a small door to Europe for the Greater Bay Area.”

Boasting nearly 30 years of diplomatic relations with China by 2025, Boisson is positive about advancing ties and creating exchanges in the field of environment and culture.

In an exclusive interview with Macau Daily Times, she said Monaco is eyeing cooperation with a new field of cooperation, following the halt of activities that were affected by the Covid-19 pandemic.

“During the Covid-19 period, it was really difficult. So, I think now we start again. So, I am organizing an economic mission with our Chamber of Commerce, and also the Federation of Businessmen and Women to come to see China and to try to make more exchanges,” said Boisson.

For the ambassador, both Monaco and Macau share a series of similarities – particularly in their platforms for glitz and glamour associated with casinos, drawing in high rollers, though the European principality offers a relatively small selection in terms of its casino selection.

The world’s second-smallest state by land area after Vatican City, the region is home to the Formula One Monaco Grand Prix, an annual yacht show, and the Monte Carlo Casino.

“A big company in Macau is a shareholder of our main resort in Monaco,” said Boisson.

“It was Monaco who invented the concept of the resort more than 160 years ago. It was the first in Europe to do that,” she recalled.

Back in 2015, Galaxy Entertainment Group made a modest investment of 42.4 million euros to acquire a 5% stake in Societe des Bains de Mer (SBM), a Monaco government-controlled company that operates the Monte Carlo Casino.

This initial investment paved the way for a successful partnership between Galaxy and SBM, leading to collaborations on different projects such as exploring new casino opportunities in Asia and supporting cultural exchanges between Monaco and China.

On one occasion, they even transported Albert’s throne and other valuable artifacts to Beijing for an exhibition held within the Forbidden City.

Meanwhile, Genta, Monaco’s Secretary for Attractiveness, Development, and Digital Transformation is strategically moving with clear intentions: to leverage the close relationship between Monaco and Galaxy Entertainment Group to pitch to investors in the Greater Bay Area.

The cluster, envisioned by Chinese government planners as an integrated economic area aimed at taking a leading role globally by 2035, includes Macau, Hong Kong, and nine cities in the Guangdong province.

Frederic Genta

Genta’s trip to Macau was not solely focused on attracting large corporations, but also had his sights set on luring in ultra-wealthy individuals whose fortunes are overseen by family offices.

Following a recent two-day stay in Macau, Genta traveled across the Pearl River Delta for a series of similar meetings in Hong Kong, which were arranged by Galaxy.

Amid existing geopolitical tensions, Monaco, a non-EU member, maintains stronger ties with China compared to some of its neighboring countries.

In 2019, Monaco became the first European nation to introduce a 5G phone network utilizing technology provided by Huawei.

“We have a contract with Huawei and Monaco was the first country in Europe to get 5G,” Boisson said.

“What is important is that between President Xi Jinping and Prince Albert II, there is really a personal, free and lean relationship. Of course, they talk about economy, they talk about environmental issues because Monaco has a lot of commitments in this field,” said the ambassador.

“In 2019, President Xi Jinping’s visit to Monaco was his first official trip. For a little country like us, it was crazy,” she added.

Currently, the ambassador has noted that the region will participate in the China International Import Expo, a trade fair held annually in autumn since 2018 in Shanghai, China.

The expo is the world’s first import-themed national-level expo, featuring exhibitions of multiple countries and businesses and hosting the Hongqiao International Economic and Trade Forum.

“We just recently received the invitation; we will build a pavilion of Monaco among the national pavilions to bring the entrepreneurs of Monaco to China to try to find contacts,” said the diplomat.

The move mirrors Genta’s remarks to Nikkei News, also this week, as the principality has consistently demonstrated its willingness to establish new relationships and has openly welcomed Chinese culture.

During his tour, he will provide a unique benefit or an enticing reward in the form of an invitation to join the esteemed Monaco Private Label (MPL), a select network comprising only 2,000 influential business leaders hailing from 60 different nations.

This alluring proposition is particularly appealing to numerous Chinese investors, who frequently face exclusion from similar associations in Western regions.

Established in 2009, the MPL is an international club of decision-makers, business executives, and opinion formers from 2,000 business powerhouses and 60 countries who are renowned in their respective fields.

Genta expressed his desire to increase the club’s membership from Hong Kong and Macau, as well as consider hosting certain events in the Chinese cities in the upcoming year.

As Monaco serves as a sanctuary for the extremely wealthy, as it imposes no income tax, capital gains tax, or inheritance tax, and boasts a thriving private banking industry, the semi-enclave has high hopes of being a door to Europe through thriving cities including Macau, Hong Kong, and the rest of the GBA.

“We hope Monaco can be a European base for many of them,” Genta said.

Interview by Lynzy Valles