Macau’s economy ended 2025 on stable footing, although growth momentum showed signs of easing, while gaming revenue slowed, according to the Macau Economic Association.
‘The economy concluded the end of last year with stable performance,’ the association indicated, noting that overall activity in the final two months of 2025 ‘remained stable’.
Gross gaming revenue continued to grow year-on-year, although December posted a slight decline from November. Average daily gross gaming revenue (GGR) stood at MOP7.03 billion ($873 million) in November and MOP6.74 billion ($837.6 million) in December, a trend that ‘indicates that growth momentum may be moderating’, according to the association.
Tourism remained a key driver, with visitor arrivals reaching 40.06 million in 2025, surpassing the pre-pandemic peak of 2019 and setting a new record, up 14.7 percent from 2024. Tourism-related indicators, including hotel occupancy and average room rates, stayed between ‘relatively hot’ and ‘overheated’, the report shows.
The labor market also remained resilient, with the unemployment rate holding at 1.7 percent, reflecting ‘continued strong demand for labor’.
However, the association warned that small and medium-sized enterprises (SMEs) are under pressure amid external uncertainties, shifting consumption patterns and uneven economic development.
‘Residents’ income growth remains weak,’ it said, adding that both businesses and households ‘may adopt a more conservative approach in consumption and investment decisions’.
Mainland China’s consumer confidence index has stayed in the ‘sluggish’ range for an extended period, while investor sentiment remains cautious. Stock prices of the city’s six gaming concessionaires continue to sit in the ‘poor’ range, the association said, pointing to a guarded medium-term outlook.
In the property and financial sectors, the loan-to-deposit ratio among local residents remained low and the residential property price index continued to be sluggish.
Based on a composite assessment of indicators, the economic climate index stood at 6.3 points in November and 6.2 points in December.
Looking ahead, the association said a ‘solid foundation’ is expected for the integrated tourism and leisure industry in the first quarter of 2026, although ‘overall momentum may moderate’.
‘The supporting conditions and fundamental trend of ‘steady and improving’ remain unchanged,’ the association said said, adding that Macau’s economy will continue to be driven by the integrated tourism and leisure industry as its main engine.
Policy measures, expanded tourism promotion, more diversified leisure products and a broader visitor base are expected to underpin growth in 2026. Peak travel periods, including the Spring Festival, are expected to boost visitor arrivals, hotel occupancy and gaming revenue.
At the same time, the association cautioned that the operating environment in residential communities faces ‘profound and complex changes’, with the overall economy showing a ‘mixed picture of warmth and coldness’. Operational pressures on small, micro and medium-sized enterprises remain significant.
The economic climate index for the first quarter of 2026 is projected to range between 6.1 and 6.3 points, with overall performance expected to remain ‘continuously stable’, the Macau Economic Association indicated.
