Macau casino revenue has fallen by 0.4% year-on-year for March. Macau’s Gaming Inspection and Coordination revealed the figures for March, on Monday April 1.
The total revenue generated from casinos in March was 25.8 billion patacas ($3.2 billion) which is about 0.4% less than the revenues generated during the same period last year.
The figures were expected and the Macau gaming industry analysts had estimated that the March revenue will remain flat or may take a hit by up to 6%. The analysts have attributed the tanking revenue estimates to the sluggish economic growth in the region and also to the Sino-U.S. trade war.
Despite a year-on-year loss in revenue the figures for march are higher than that of the previous month. In February, the gambling revenue was 25.4 billion patacas.
Macau also known as the Mecca of Gambling relies heavily on the revenues from its casinos. Almost 80% of the local government’s revenues come from the taxes from the casinos.
However, the voices to diversify the government’s revenue sources are now also being heard in the Macau’s legislative assembly.
Also, there has been a call to restrict tourism in Macau. Last month Macau legislator Sulu Sou demanded that the number of tourists visiting Macau should be limited. He said that the excessive tourism is hampering the daily life of the locals due to increased rent and high traffic.
Though Sou did not gain much support, in a recent development, lawmakers are thinking of introducing a tourism tax.
Macau’s dependency on revenue from Casinos is huge. Last month Macau also extended the licenses of six prominent casino operators including the MGM China and SJM Holdings.