Impact from Chinese Premier’s visit seen limited

An upcoming visit by Chinese Premier Li Keqiang from October 10 and 12 is unlikely to put a major dent in the month’s gross gambling revenue, the South China Morning Post cited analysts as saying.

Angela Han, a Hong Kong-based analyst from China Merchants Securities and Sophie Lin, an analyst at the ratings agency S&P Global both said the negative impact from Li’s visit is likely to be limited.

The scheduled trip will come after the key Golden Week holiday and the premier is not expected to make any major announcements that will negatively affect the market. President Xi Jinping’s visit in December 2014 triggered a heralded a major slump in gambling revenue after he told Macau that it must diversify its revenue sources. He also reinforced an ongoing anti-corruption drive, which forced high rollers underground.

The analysts did however concede that the additional security measures, resulting in traffic blockages, may cause some disruption to casino visitation.