Macau’s economy shrank 24.5 percent in the first quarter of 2015 compared to the same period the year before, and down further from the 17.2 percent drop in the previous quarter, according to Macau’s Statistics and Census Service.
Economic contraction was mainly due to a substantial decline in exports of services, of which exports of gaming services plunged by 39.7 percent year-on-year and exports of other tourism services dropped by 17.7 percent.
“Service trade continued to decline. Exports of services remained sluggish; exports of gaming services deteriorated, down further by 39.7% year-on-year; exports of other tourism services decreased by 17.7% upon the negative growth in visitor arrivals and spending,” the statistics service said in a statement.
“The simultaneous decline in exports of gaming services and other tourism services dragged down total exports of services by 35.6% year-on-year. Imports of services also tumbled by 37.9% amid stagnant exports of services.”
Private consumption expenditure and government final consumption expenditure increased by 6.7 percent and 6.8 percent respectively, while private investment rose by 28.1 percent, “alleviating the impact of the economic downturn.”
“Despite the lingering downward pressures on the economy, the employment situation remained satisfactory. Total employment and working income reached a record high, supporting private consumption expenditure to grow by 6.7% year-on-year.”