Page 196 - 2025 Special Report

Macau

The economy public investment reduced by 5.2%. Exports of

services maintained resilient growth, with exports
is located on the southeastern of gaming services and other tourism services rising
Macau coast of China, along the by 39.9% and 2.8% YoY, respectively .
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west bank of the Pearl River estuary. It is 60km
and 145km away from Hong Kong and Guangzhou In terms of economic structure, Macau has been
respectively and shares a border with Zhuhai to rated by the World Trade Organization (WTO) as
the north. With a population of 683,100 in an area one of the most open trade and investment regimes
2
of 32.9km , it is the most densely populated region in the world. It is a free port and an independent
in the world. Macau was returned to China from tariff zone, with a corporate profit tax rate of no
being a Portuguese colony in 1999. The region’s more than 12% and a far-reaching international
economy is heavily relying on the tertiary industry, marketing network with close ties to Portuguese-
which accounts for 92.3% of the industry structure. speaking countries. To implement the “1+4” strategy
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Macau’s economy grew by 80.5% in 2023 , thanks for appropriate economic diversification , the
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to the strong return of tourism. Exports of gaming government will make further effort to enrich
services and other tourism services grew by 344 Macau’s function as “One Center” for integrated
and 128% respectively, with boost underpinned tourism and leisure, while expanding the base of
by the 395% YoY increase in visitor arrivals. The international tourists and facilitating “tourism +”
retail sales – including travel retail – however, cross-sector integration. It would also accelerate
experienced fluctuating fortunes in 2023 with high- effort to facilitate the development of four nascent
end retailers and brands noting a steady softening industries, namely the big health industry, modern
of spend despite rising visitor numbers, as there is financial services, new technology and exhibition
an increasing tendency among Chinese mainland and cultural industries.
visitors to spend on non-shopping attractions.
In H1 2024, the GDP of Macau grew by 15.7% Macau’s role as a trade and economic co-operation
YoY and exports of services continued to thrive, service platform between China and Portuguese-
underpinned by the increases in number of visitor speaking countries has received increasing
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arrivals and tourism activities . recognition over the years. The implementation of the
“Closer Economic Partnership Arrangement” (CEPA)
between the Chinese mainland and Macau, the Pan-
Market highlights Pearl River Delta Regional Co-operation Framework
Agreement, the Framework for Development and
Private consumption expenditure grew by 7.8% Reform Planning for Pearl River Delta Region, the
YoY in H1 2024, on account of the improving local Framework Agreement on Co-operation between
economy and labor market. Gross fixed capital Guangdong and Macau and the Framework
formation increased by 9.8% YoY thanks to the Agreement on Deepening Guangdong-Hong Kong-
improving business environment in Macau. Of Macau Cooperation in the Development of the
which, private investment grew by 19.3% while Greater Bay Area will further enhance the economic
integration of the Pan-Pearl River Delta (PRD) region.
103 Statistics and Census Service of Macao, https://
www.dsec.gov.mo/zh-MO/Home/Publication/Yearboo- 105 Statistics and Census Service of Macao, https://
kOfStatistics www.dsec.gov.mo/en-US/Statistic?id=9
104 Statistics and Census Service of Macao, https:// 106 Government site of Macau, https://www.gov.mo/
www.dsec.gov.mo/en-US/Statistic?id=9 en/news/311143/

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