Macao’s gross domestic product (GDP) decreased by 33.4 per cent year-on-year in real terms in the third quarter, owing to the summer Covid-19 outbreak, the Statistics and Census Bureau has announced.
Due to a 50.8 per cent decline in the number of visitor arrivals amid the outbreak in the third quarter, exports of services fell by 46.7 per cent year-on-year, of which exports of gaming services and exports of other tourism services tumbled by 72.5 per cent and 45.9 per cent respectively.
Domestic demand dropped by 14.4 per cent year-on-year, dragged down by a decline in gross fixed capital formation and private consumption expenditure.
The implicit deflator of GDP, which measures the overall changes in prices, decreased by 1.1 per cent year-on-year.
With Macao’s economic activity being affected by Covid-19 control measures in July, household final consumption expenditure in the domestic market and abroad dropped by 13.3 per cent and 12.2 per cent year-on-year respectively. Overall private consumption expenditure fell by 13.3 per cent year-on-year.
Government final consumption expenditure rose by 5.7 per cent year-on-year, due to an increase in the government’s expenditure on its healthcare subsidy scheme and novel coronavirus pandemic prevention measures. Net purchases of goods and services grew by 10.2 per cent while compensation of employees decreased by a mere 0.1 per cent.
Gross fixed capital formation decreased by 34.3 per cent year-on-year, of which construction investment and equipment investment dropped by 38.2 per cent and 18.8 per cent respectively.
Concerning public investment, public construction investment rose by 19.6 per cent, thanks to increased investment in construction of public housing, the fourth Macao-Taipa bridge and the Islands District Medical Complex in Cotai; however equipment investment reduced by 44.4 per cent. Regarding private investment, construction investment declined by 56.4 per cent year-on-year due to reduced investment by gaming operators; besides, equipment investment fell by 14.0 per cent.
In the third quarter, Macao’s GDP at current prices amounted to MOP 37 billion.
External merchandise trade was impacted amid the pandemic, with imports and exports of goods dropping by 27.9 per cent and 43 per cent year-on-year respectively.
For the first three quarters of 2022, GDP declined by 27.8 per cent in real terms.
