Macau, China, 25 Feb – Macau’s economy recorded a real fall of 2.6 percent in 2009, estimates the most recent report on Macau published by The Economist Intelligence Unit (EIU).
The EIU analysts nevertheless anticipate a significant economic upturn this year and in 2011, when gross domestic product in real terms should grow by 10 percent a year as a result of new projects linked to casinos.
According to macauhub news agency the EIU also specifies that Macau’s economic performance is very dependent on China’s visa granting policy.
Since 2004 economic booms have coincided with the opening of new casinos in Macau, where some new developments are long overdue.
But the report considers that the wait may be a welcome pause providing an opportunity for the territory to resolve some infrastructure problems.
The EIU goes on to recall that Macau remains a market for one-day trips to gamble in casinos and that demand is weak for attractions not associated to gaming, which account for only 5 percent of revenues, versus 50 percent in Las Vegas.
But the new projects which will open after construction resumes should bring the Macau model closer to Las Vegas, with more trade fairs and conferences, for example.