MGM China is trading just a fraction above its 1 January level. The five other concessionaires’ share prices have dropped between 21 and 48 percent.
Macao gross gaming revenue
The Macau Economic Association thinks the economy is on track to grow this year by more than the already very respectable 74.4 percent forecast by the IMF.
In the first nine months of this year alone, casinos filed more reports of suspicious transactions than they did across all of 2019, according to the official figures.
Although mainland China’s economy is faltering, the credit agency backs Macao to perform better than expected in 2023.
Macao’s concessionaires will have to increase their spending on non-gaming facilities if gross gaming revenue crosses a certain threshold this year.
However, the figure for August is still only 71 percent of the sum registered for the same month in 2019, the last year before the Covid-19 pandemic.
Analysts say Macao is capable of generating comfortably more gaming revenue than the government has targeted this year.
Nearly 40 percent of the government’s targeted gross gaming revenue for 2023 has been made in the first four months of the year, data shows.
Although GGR is still down on pre-pandemic averages, some analysts are predicting that the gaming sector will recover fully as early as next year.
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