Over 40 brands apply for first phase of ‘First-Store Economy scheme’ featuring tech

The first phase of the “Scheme for Supporting the Development of Macao First-Store Economy”, featuring new technological business formats, has garnered over 600 inquiries and over 40 applications, according to the Macao Commerce and Investment Promotion Institute (IPIM).

Applications involve collaboration between local companies and foreign brands, with local companies accounting for 87% of applicants, and nearly 46% of all applicants expecting to settle in specified areas including the ZAPE district, San Kio, and Areia Preta.

The brands, featuring new technology-driven formats, mainly stem from mainland China, Portugal, Thailand, Hong Kong, and Taiwan. These formats include elements such as interactive motion-sensing games and product experience centers.

In line with the provisions of the scheme, IPIM will review all applications on a case-by-case basis through the Investment Committee. Approved applicants will be considered based on various components, factoring in the budgetary capacity of the scheme and the public interest.

Cases that are eligible and have secured brand recognition are required to adhere to the principles of prudent use of public funds and will receive subsidies based on actual expenses. They are also expected to submit operational and expenditure supporting documents within a specified timeframe, and subsidies will only be distributed following verification of these documents by IPIM.

Applications for the second phase of the scheme will run from May 1 through July 31, aiming to continue the goal of enhancing the appeal of Macau’s business environment. Eligible companies are encouraged to submit their applications.

The government initiated the “First-Store Economy Scheme” last year, which lasts three years with six phases, intended to attract international brands, mainland Chinese brands, Hong Kong brands, and other regional brands that meet specific criteria to open their first shop in the city.

In addition, the initiative is meant to enrich Macau’s tourism landscape, stimulate local economic activity by introducing new products and business formats, and promote market diversification.

The basic subsidy of the scheme also offers an additional incentive for foreign brands to prioritize settling in eight specific areas, including Ilha Verde, Fai Chi Kei, Doca do Lamau, Toi San, Areia Preta, Iao Hon, San Kio, Barra/Manduco, and ZAPE district.

The objective of these subsidies is twofold: to stimulate the development of local residential areas and to generate additional employment for residents. Total funding for this initiative is capped at MOP1 million. Ricaela Diputado