China’s President Xi Jinping arrived in Macau on Wednesday afternoon, officially beginning his three-day visit to Asia’s largest gaming hub.
In a brief speech at the airport, Xi described Macau as a “beautiful land” and expressed his satisfaction with each visit to the city. He also referred to Macau as the “pearl of the motherland,” emphasizing that over the past 25 years, the region’s unique practice of “One Country, Two Systems” has gained “worldwide recognition for its success,” showcasing its “vibrant vitality and unique charm.”
Xi noted that while China’s development is constantly evolving and unstoppable, Macau’s growth has been gradual, with a “promising future ahead.”
The purpose of his visit is to celebrate the 25th anniversary of Macau’s return to China, share in the celebrations with the people of Macau, and witness the new developments and changes that have taken place in recent years.
Due to the high-profile visit, many transportation services in the city and surrounding areas have been temporarily disrupted, and security checks have been heightened at all border crossings.
In the gaming sector, analysts remain cautious about the impact of the visit on Macau’s gaming revenue. Citigroup has projected a flat year-on-year performance for Macau’s gross gaming revenue (GGR) in December 2024, forecasting MOP18.5 billion ($2.3 billion). This forecast represents approximately 81 percent of December 2019 levels.
Analysts expect a temporary dip in gaming activity during the visit, as public attention will shift to state-led celebrations. While the holiday season typically boosts tourist arrivals, this high-profile political event is expected to disrupt the usual gaming momentum in Macau, especially as incoming punters come under increased scrutiny.
Past visits
This will be Xi’s sixth official visit to Macau and his third as President of the People’s Republic of China. Xi first visited the Macau SAR in 2001 as Governor of Fujian Province, returning in 2005 as Secretary of the Communist Party Committee of Zhejiang Province, and again in early 2009 as Vice President of China.
As President, Xi visited Macau in 2014 and 2019 to preside over the inauguration ceremonies of Chief Executive Chui Sai On for his second term and Ho Iat Seng’s inauguration, respectively.
On Friday, Xi will attend the inauguration ceremony for key officials who will serve under the new Chief Executive, Sam Hou Fai, for a five-year term.
It is also worth noting that during Xi’s presidency, various political movements have had a significant impact on Macau’s gaming industry.
The first major change occurred in 2014 and 2015, when Xi launched the nationwide anti-corruption campaign, which led to a significant decline in monthly GGR, shrinking by nearly 50 percent.
Macau’s highest monthly GGR was recorded in February 2014, reaching MOP38 billion ($4.75 billion). For FY23, the year before the anti-corruption campaign began, Macau’s GGR peaked at MOP360.8 billion ($45.13 billion).
In comparison, in 2019, prior to the COVID-19 pandemic and the crackdown on Macau’s junket sector, the city’s annual GGR stood at MOP292.5 billion ($36.59 billion), which was 19 percent lower than the 2023 figure.
