Macau witnessed a 35.5% y-o-y gross gaming revenue (GGR) fall to MOP18.62 billion ($2.33 billion) for August, according to information provided by the Gaming Inspection and Coordination Bureau. August was the 15th month in a row to show decrease of GGR in comparison with the same month previous year.
Taken into account August numbers, the accumulate Macau GGR for the first eight months of 2015 of MOP158.88 billion fell nearly 36% compared to the same period last year. The only thing that increased for 1%, though, is the rate of y-o-y decline.
Once the official report was published and the numbers were revealed, the Macau government announced implementation of austerity measures “to control public expenditure.” By reducing government spending, officials expect to save MOP1.4 billion. Two measures included in the austerity plan include freezing 10% of budgeted investment plan as well as freezing 5% of budgeted expenditure in purchasing daily supplies.
Thanks to the “stable financial situation and sound financial system” the government of Macau was able to cope with any “unexpected economic fluctuation,” officials said. In addition, it was highlighted that the strict austerity measures will in no way affect social welfare.
Macau casino revenues are continuously declining and experts warned that drops of 30-40% should be expected in y-o-y calculations. In order to help its struggling gambling industry, the government introduced lighter visa rules that should attract more players in the region.