Brokerage firm CLSA forecasts 6% growth for Macau’s GGR in May?

Jenny Ortiz May 7, 2024

Share it :

Brokerage firm CLSA forecasts 6% growth for Macau’s GGR in May?

Brokerage firm CLSA anticipates a 6 percent month-on-month increase in Macau’s gross gaming revenue (GGR) for May, reaching MOP19.7 billion (€2.27 billion). While slightly below market consensus, CLSA’s projection aligns with Morgan Stanley’s forecast and indicates continued recovery in the region’s gaming sector.

Analysts Jeffrey Kiang and Leo Pan highlighted the robust foot traffic observed during the Labour Day holiday, citing positive trends in average daily visitation and hotel bookings.

Throughout the holiday period, key establishments such as Grand Lisboa Palace, MGM Cotai, The Londoner, and others experienced significant foot traffic, including busy gaming floors. Minimum bets on baccarat tables ranged from MOP1,000 to MOP1,500, with higher stakes in high-roller rooms ranging from MOP3,000 to MOP10,000.

Despite lower visitor arrivals, Macau remains optimistic?

Despite lower-than-expected visitor arrivals during the Labour Day break, Macau remains optimistic about its tourism prospects. The city welcomed a total of 604,395 tourists over the five-day holiday, averaging 120,000 visitors per day, falling short of authorities’ projections.

The Macao Government Tourism Office (MGTO) attributed the lower arrivals to adverse weather conditions, dampening travel enthusiasm. However, the agency assured that the government is gearing up for the upcoming summer holidays to boost tourism.

Launch of Macau-Hengqin multi-entry visa?

To stimulate tourism, Macau launched the Macau-Hengqin multi-entry visa for Chinese nationals on tour groups on Monday. The initiative aims to facilitate integrated development between Macau and Hengqin, offering tourists more choices and enhancing the region’s attractiveness.

The new visa allows tour group visitors to stay at budget hotels in Hengqin and visit Macau during the day. As Macau continues to navigate recovery post-pandemic, initiatives like the multi-entry visa signal proactive measures to revitalize the tourism sector and promote integrated development with neighbouring regions. With gaming revenue forecasts showing promising signs, stakeholders remain hopeful for sustained growth in Macau’s economic recovery.?

Upcoming SiGMA event: SiGMA Asia 2024, 2 – 5 June. Find all the details?here.