The International Monetary Fund (IMF) estimates Macau’s Gross Domestic Product (GDP) will grow by a projected 13.9% in 2024 to around US$45 billion, driven by the further recovery of the gaming sector and steady private investment.
The prediction comes after an IMF Expert Delegation visited Macau between 21 February and 6 March to conduct its “Article IV Consultation” on the Macau SAR and provided preliminary conclusions on the city’s macroeconomic and financial conditions.
In its preliminary conclusions, the IMF delegation noted that Macau’s economic activity rebounded significantly in 2023.
“The Macau SAR’s economy expanded by 80.5% in 2023, driven by a surge in services exports after mainland China lifted COVID-19 containment measures,” it said.
“The gaming sector had a stellar performance, bolstered by the mass tourism segment. Non-gaming services exports also expanded strongly.”
However, the IMF added that “growth momentum slowed in the last quarter of 2023 and the recovery was uneven, with less impressive growth in other non-gaming sectors.
“High interest rates and increased competition from e-commerce and neighboring mainland regions limited the recovery of local small and medium enterprises (SMEs).”
The IMF estimates that GDP will grow by 13.9% this year due to further recovery in the gaming sector plus solid private investments that are in part linked to the non-gaming investment commitments of concessionaires. It also predicts that GDP will fully recover to pre-pandemic levels in 2025.
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