SMEs still struggling despite record tourist spending

[Photo: Melissandre Denize]

Macau’s small- and medium-sized enterprises (SMEs) are still struggling despite record tourist spending, lawmakers said, calling for more precise government support to reach community retailers.

Lawmakers, presenting their pre-agenda items at a plenary meeting yesterday, called for a new round of consumption incentives to retain local spending power, with legislator Leong Sun Iok pointing out that while non-gaming tourist spending rose 17.4% year-on-year in the first half of the year, many SMEs still reported sluggish trade, as tourists tend to concentrate their spending at integrated resorts, leaving community retailers largely bypassed.

He urged the government to build on the experience of the previous community consumption scheme and relaunch attractive local spending incentives tailored to different sectors.

Leong also urged the government to harness the six integrated resort operators to support SMEs through a “big drives small” approach, while improving transport infrastructure to channel foot traffic into the community.

On the labor front, he called for better data analysis and enhanced subsidies under the employment assistance framework to encourage the hiring of graduates and middle-aged workers.

Legislator Ho Ion Sang proposed a three-pronged approach combining government subsidies, merchant discounts, and platform promotions to encourage spending through vouchers and cash rebates. Ho also suggested integrating the “One-Click Smart Travel Macau” platform to guide online traffic toward community shops.

On digital transformation, lawmakers Angela Leong and Ma Chi Seng noted that the first phase of the SME digitalization support scheme received nearly 2,000 applications for only 1,000 subsidized places, reflecting strong demand. They called for expanding the quota and establishing a long-term advisory mechanism, particularly for traditional heritage businesses, to shift support from short-term grants to sustained development.

Legislator Che Sai Wang raised concerns over the impact of cross-border spending on local retail, citing official data showing retail sales fell 3.2% year-on-year last year, with supermarket sales down 9%. He urged the government to conduct a systematic study of residents’ spending patterns on the mainland and develop targeted policies, while supporting SMEs in adopting online ordering, community delivery, and electronic membership systems.

Lawmaker Lee Koi Ian focused on the Zhuhai-Macau Cross-Border Industrial Zone, calling for its upgrade to leverage the “one park, two sites” model and its dedicated port advantages. He proposed better functional integration between the two sides, shared production facilities to address SME infrastructure gaps, improved vehicle clearance, and the development of high-value industries linked to Portuguese-speaking markets through cross-border e-commerce.