Policy Address presented today | Residents fear gov’t will cancel cash handout

Residents have expressed their concern that falling gaming revenues will force the government’s hand in cancelling or reducing cash handouts. The main source of income for the SAR government is the taxes on gaming revenues. However, the 17-month downward trend in gaming revenues has sparked concerns over whether or not the fall in government revenue will affect the social welfare policy.
The policy includes a cash handout scheme, under which Macau permanent residents received MOP 9,000 this year, while non-permanent residents received MOP 5,400.
“The cash handout scheme is helping us with inflation, and it’s not really difficult to continue the scheme and help us,” one resident told TDM. Another resident warned that “if the government does not run the cash handout scheme anymore, everybody will have an opinion on it.”
Despite these concerns, Chief Executive Chui Sai On and Secretary for Economy and Finance Lionel Leong have maintained that the scheme will continue next year.
Meanwhile, scholars have encouraged authorities to cut unnecessary spending in the SAR whilst improving healthcare services and the social security system. Macau Polytechnic Institute (IPM) gaming lecturer, Loi Hoi Ngan, says that unnecessary spending, such as event promotions and subsidies for associations, should be reduced.
“We are increasing spending of pensions, retirement pensions, and healthcare services. Along with the increasing population, spending will increase constantly. However, when the income resources shrink, the burden on the government will increase. In other words, ‘without a sheep, there can be no wool’,” he said, before adding that “the government should consider if it really has to bear everything or if the government wants our society to be more active.”
Loi suggests setting up a department to supervise budget drafting and spending, which he believes will lead the authorities to use public resources more efficiently.
The Chief Executive, Chui Sai On, will deliver the Policy Address for the Fiscal Year 2016 today in a live-broadcast Legislative Assembly session, in which he is expected to announce the cash handout policy for next year.