Macau Records Second Consecutive Month Of Decline In Revenues
Macau has recorded a second disappointing month in terms of gambling revenues. Following June’s decline of 3.7 percent in revenues, July is the second consecutive month in where revenues declined since 2009. July revenues in Macau decreased by 3.9 percent due largely still to the after effects of the World Cup which as we reported resulted in a lot of mainland Chinese opting to bet on the World Cup matches and less in the casinos.
Revenues fell to $3.56 billion which is in line which is in line with the 2-5 percent that analysts were expecting. While the last two months have been disappointing, experts expect the world’s largest hub to recover in August. While generally the VIP sector is what makes up a large part of Macau’s revenues, analysts expect the mass Chinese market who are shipped into Macau by junket operators to make up the losses.
As we have mentioned in previous reports Macau has bureaucratic headaches to deal with but the overall long term prospects are excellent as new resorts and infrastructure projects are planned which will make it a lot easier for millions more Chinese to gamble in the only region permitted by the authorities.