The Macau government has spent MOP$14.6 billion (US$1.81 billion) in 2022 to make up for a shortfall in gaming tax revenue and expects many more contributions to follow, according to Secretary for Economy and Finance, Lei Wai Nong.
Speaking during a video conference meeting of Macau’s Legislative Assembly – convened with a view to amending the 2022 budget in the wake of ongoing COVID-19 restrictions – Lei said, “The government has used MOP$35.1 billion (US$4.34 billion) in fiscal reserves, of which MOP$14.6 billion was to cover the [shortfall in Macau special gaming tax collection] and another MOP$10 billion (US$1.24 billion) was to provide financial assistance.”
However, in a portent of what’s still to come for Macau, the Secretary added, “This [outbreak] will not be the last and we will use ‘MOP$10 billion’ many more times.”
As reported by Inside Asian Gaming, the Macao SAR Government recorded gaming tax revenue of just MOP$11.1 billion (US$1.34 billion) in the first six months of 2022
During the AL meeting, a number of members questioned whether or not the government’s assistance measures were benefiting everyone.
José Maria Pereira Coutinho said, “Macau people are very well behaved and have listened to the government’s zero-COVID policy, but at the same time, many Macau citizens have had zero deposits.”
In response, Lei said, “The financial assistance is targeted at employees and businesses, and the government will provide further assistance amounting to MOP$10 billion, which is currently being prepared.
“This [outbreak] will not be the last and we will use ‘MOP$10 billion’ many more times.”
Director of the Financial Services Bureau (DSF) Iong Kong Leong revealed that Macau’s reserve balance currently sits at MOP$557.3 billion, adding, “Don’t think that Macau’s reserves are inexhaustible.”
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