This growth reflects the continuous recovery of the city after the COVID-19 pandemic, helped by the reopening of international borders in early 2023. Despite a solid year in general, December recorded a year-on-year decrease of 2%, which meant 18.2 billion MOP (2.28 billion USD), down from 18.44 billion MOP (2.310 million USD) in November.
The annual GGR for 2024 exceeded the Macau government's forecast of MOP216.0 billion, as detailed in the fiscal budget for the year. This figure represents 77.5% of the pre-pandemic levels of 2019, when the GGR reached MOP292.45 billion (US$36.7 billion). The recovery is attributed to a restructured operating environment for casino dealers, which has minimized the dependence on leisure travel commissions and has emphasized the mass market and premium segments.
The worst performance of December, which was the third lowest month of the year, coincided with the visit of Chinese President Xi Jinping to Macau. His presence during the inauguration of chief executive Sam Hou Fai interrupted border activity and the flow of visitors, which contributed to the moderation of gambling revenues.
Future growth and projections
For the future, the Macau government has predicted that the GGR will reach MOP240 billion (US$30.1 billion) in 2025, an increase compared to the 2024 performance. This estimate aligns with the optimistic outlook expressed by former executive director Ho Iat Seng, who described the projection as "conservative" and "attainable", according to GGRAsia. The new administration in charge of CEO Sam Hou Fai continues to support this vision of growth.
In addition to the general GGR, Macao anticipates higher tax revenues from business travel commissions in 2025, projecting an increase of 233.3% to MOP100 million, compared to MOP30 million in 2024.
The continuous recovery of Macau's gaming industry also highlights the second year of operation with revised gaming licenses for its six dealers. These changes have forced operators to refine their strategies, moving away from leisure travel and focusing on diversifying gaming experiences and strengthening the premium mass market.
Visitor arrivals boost revenue recovery
Macao's recovery extends beyond the game, as visitor arrivals in 2024 approached 35 million, exceeding the initial forecast of 33 million, according to Asia Gaming Brief. The resurgence of tourism has played a fundamental role in boosting the city's economic activity, which has allowed Macau to get out of the stagnation induced by the pandemic of previous years.
The investment bank Morgan Stanley predicts a "slight but constant" growth for the Macau gambling industry in 2025, driven by the ongoing adaptation to post-pandemic operations and the solid number of visitors. The government and casino operators remain optimistic and anticipate another year of solid performance at the world's largest gaming center.
Dingnews.com 03/01/2025