[Updated]

Macau Chief Executive (CE) Ho Iat Seng has prolonged his annual leave until July 29, according to an executive order published in the Official Gazette on Saturday.

This comes after a previous 16-day extension which ended on Friday, July 19. Ho has been on a long annual leave period since June 21. Secretary for Administration and Justice André Cheong will continue to assume his duties during the CE’s absence, the executive order signed by Ho Iat Seng indicates.

The Government Information Bureau (GCS) meanwhile issued a statement on Saturday indicating that during the ongoing holiday period the CE “underwent a routine medical examination and received necessary diagnostic and therapeutic care, and is currently in good health.”

The statement came “in response to recent media requests for information regarding the Chief Executive’s annual leave,” GCS said.

In total, the CE’s break will be 39 days. The extensions have led to questions about Ho’s health condition and whether he would be standing in the upcoming CE election. After the announcement of the previous extension, on July 7 sources told MNA that he was planning to announce his bid for a second term as head of the SAR Government following the election for the CE Election Committee members scheduled for August 11. The same sources noted that this was the first effective annual leave period he has taken since assuming office as Chief Executive on December 20, 2019.

Following the visit to Macau in May by Xia Baolong, Beijing’s top official in charge of Macau and Hong Kong affairs, Ho said the upcoming CE election had not been addressed in the meetings. He added that, at the time, May 19, he didn’t have anything to share with the public yet.

The August 11 election will select the 400 electors from different sectors of local society who will be choosing the CE. Existing electoral rules mandate that the two elections should be at least 60 days apart, indicating that the CE election could be held on October 13 at the earliest, as it is the first Sunday after the 60-day period. CE elections have consistently taken place on Sundays.

Ho Iat Seng’s predecessors, Edmund Ho and Chui Sai On, both served two five-year terms. With the exception of the first CE election, held in 1999, there has always been only one candidate on the ballot. Local businessman Jorge Chiang announced earlier this month his intention to run in this year’s CE election. 

By José Carlos Matias

Photos by Lei Heong Ieong

The city’s first locally registered money market open fund solely denominated in patacas has been launched. It’s the brainchild of Bernardo Alves and Abraham Kot, who are looking to make a splash in the city’s financial industry.

A&P Investment Fund Management Company Limited received approval in early May from the Monetary Authority of Macau and secured a special license—the first of its kind—to establish the “A&P Macau Patacas Money Market Fund,” which was launched on July 3.

In an exclusive interview with Macau Business and Business Intelligence, A&P’s chairman and founder, Bernardo Alves, and CEO, Abraham Kot, discuss the rationale behind launching their new fund, the city’s nascent fund industry, and the prospects for modernizing Macau’s financial services. The fund leverages Alves’ nearly two decades of experience in public and private equity investments, and Kot’s over three decades of experience across retail, commercial, and corporate banking, as well as investment fund management.

Tell us about the backstory behind setting up this investment fund.

Abraham Kot: First of all, I think that Bernardo Alves and I share the same idea about how to approach people’s wealth management in Macau. In 2016, I was coming from banking, and we realised something really important and astonishing at that time. Clients told us that it was difficult to find a responsible investment fund manager. As you know, most of the public funds are created in Hong Kong, and every time issues arise, people seem to struggle to see a response from them.

So, I said, why not create something for the local people? I believe that Bernardo and I really wanted to create something at that time. We wanted to develop tailor-made investment products for locals.

In 2021, Bernardo and I thought, why not apply to create an investment fund management company in Macau, according to the local regulations? The company was eventually established in early 2023, with the special registration from the Monetary Authority of Macau (AMCM) being granted in June 2023.

It then took another three months to complete our application for the first public fund.

We submitted the application to AMCM in October 2023, and in May 2024, we secured the permit.

This [having a locally registered MOP-denominated open public investment fund] is something entirely new for the city. How would you describe the whole process and the main challenges you faced throughout this process?

A.K.: When we recall the year 2022, it was a time of financial turmoil. In the property market in China, equities and bonds nosedived. As you know, we are very close to the local banking sector. We heard numerous negative investment stories. People were afraid of making investments. They believed that high risk would not translate into high returns.

So, we were struggling a lot. Finally, we made a decision. We tried to model our fund after well-known, stable, and reliable ones. We searched for the most popular public funds, particularly money market investment funds. Then we identified a very stable model, one that is good for the city’s local residents.

Why start with a public money market investment fund and not, let’s say, a private fund? What’s the rationale behind this approach?

A.K.: First of all, we believe that a private fund shouldn’t be our first project. The competition is very fierce in Hong Kong and Macau, and I don’t believe that it’s the right move for A&P to start with a private fund.

Secondly, given the complicated financial situation in 2022, we had to find something very safe in everybody’s eyes, where transparency is very high, and it’s easy for people to understand the portfolio and how they can see their investment returns.

What exactly are the components of a money market fund, and of your fund in particular?

A.K.: Basically, money market funds are very simple. They’re just like a savings product. We collect the investors’ money and deposit it into the fund, and then we place the money as large-scale deposits into big banks that can offer us a very attractive interbank interest rate.

Bernardo and I thought about something a little bit creative. By 2022, the US Federal Reserve had started to increase interest rates. By that time, we noticed the interest rate gap between the US dollar and the Hong Kong dollar. We also saw from AMCM information that the composite interest rate for MOP is substantially lower than that of the HKD. So, we took a bet: why not attract MOP deposits?

Of course, there’s one criterion that we have to explain to our investors very carefully. Do you have confidence in the peg system between the US dollar, the Hong Kong dollar, and the Macau pataca? If yes, that would be a fantastic financial plan for your money.

Some people think: What am I going to do with the salary I receive every month (in MOP)? Many people exchange it to HKD and then put it in an HKD deposit account. Some are even smarter: they change it into US dollars.

That’s why we are going to create a portfolio, bringing together bank deposits and one more item: US Treasury bills. The trading volume of these US Treasury bills is huge. You can easily invest and recover your money.

What’s the significance of having an MOP-denominated investment fund, the very first one? Is it also a kind of stance?

Bernardo Alves: Well, I think so. We could have constituted a fund of this kind since late 1999 [when the law governing the establishment of investment funds was enacted], but funds have always been constituted mostly in Hong Kong and denominated in HKD and USD.

I think it goes back to the mentality of Macau and its population.

When it comes to basic purchases, we all use MOP, but for big investments in our lives, most of which are in real estate, we use Hong Kong dollars. Naturally, there has been a predisposition for investment funds and insurance products to be quoted in Hong Kong dollars. Therefore, I understand the reasoning behind using HKD.

For us to be an investment fund company in Macau and not use MOP would’ve been a bit of a shame.

It also revolves around my belief that A&P can play a crucial role in redefining the relationship with capital. Since this is the first time an investment fund manager is locally based and we are doing something different, I think that it is a stance in a sense.

Coming back to your main point, yes, it is the objective of the company to make a statement. Something I wholeheartedly believe is that we, as a society and as locals, need the ability to invest in the currency in which we earn our salaries. It’s natural. So we are going to test this market.

A.K.: Local people are very conservative. Actually, I think we are shaking and shaping the local financial ecosystem, particularly the fund industry, by creating the first MOP money market fund. What is the meaning behind this? One crucial aspect is that the relationship between the investor and the fund manager has never been closer. We are a local company, so anytime any investor or person who wants to talk, share their wishes, or ask for advice about their money can come to our office.

Customer service plays a key role here, right?

A.K.: Exactly.

B.A.: Investment is psychological. To be close to the investor, or for the investor to feel or need an understanding of the investments themselves, is also very soothing, I would say.

The relationship we had with funds in Macau has been the opposite. When the fund is performing well, the fund managers come and show; when the fund is not performing so well, it’s natural that they don’t come.

That’s also a potential breach of transparency.

It’s all about the communication channel and the availability to say, ‘Look, we are here.’ We can talk about and explain the results. I think the explanation is the key part that will differentiate us from other companies.

As you are the very first locally licensed investment fund management company, are you expecting any kind of first-mover advantage?

B.A.: The fund’s application wasn’t easy. I don’t think any non-local company could have come here and tried to apply for it because, firstly, there was no precedent case. And when there’s no precedent, there is no timeline. This is an investment, and capital abhors uncertainty, of course.

We have been called pioneers. We’ve been called white lab rats. It’s natural. If there’s a first-mover advantage, it’s incidental.

I really wanted to develop this, and I found this fire in Abraham too, which was, “Let’s try to do something different in the financial industry.” There have always been complaints that there’s no innovation. Okay, let’s try something innovative.

You are working with Bank of China, the two Macau licenses. 

A.K. – Yes, Bank of China Macau Branch is our custodian and also provides the administrator of the unit of the fund. We are also working with Bank of China (Macau) which is our distributor, to sell our fund to customers. The other banks are our counterparty.

B.A. –  When we constitute the fund there’s a whole infrastructure behind it that supports the fund. One of these pillars is the  depositary [custodian]. But both of them are extremely valuable because they control the assets of the fund too, and they supervise the transactions of the fund, whereas we control the investors and the investment. So this relationship is symbiotic. So we were lucky to have Bank of China be innovative.

And of course, we have an auditor and all the legal contracts behind us. So just the single movement of a new company that germinated in the industry created a shockwave along the industries in Macau. So that’s development. The objective of development is to try and push one company and see how other companies will also have to reinvest or maybe have to invest in new mechanisms that will hopefully propel our industry a little bit forward, and hopefully attract more capital. Because I believe the success of A&P is also the success of Macau in terms of showing that it’s indeed possible to develop a new idea and the conceptualization of an idea into the practicality of it.

You are, to some extent, in competition with the banking and insurance sectors. How do you address this?

B.A.: The money market fund, yes. It’s very important for any financial center to have its own products that can be bought as an investment, not only to combat inflation. As a savings mechanism, as a savings idea, it’s important. Not having such a product is problematic for a city like Macau in this instance.

The objective of launching the money market fund is also based on the idea that we need to start to populate certain investment silos, which have their own risk-return profiles in the market.

We could have launched an equity fund, and I would be as happy as everyone, you know, because that’s my expertise. But we realized very early, when we did the application to AMCM, that Macau needed a solid foundation.

So the money market fund is something that is required. This will be called the parking fund. A money market fund is the third-most traded asset class in the world. So naturally, Macau has to have it.

A.K.: I truly believe that we are not competitors to the banks’ income. We are their partners.

Traditionally, banking activity is mostly about deposits. But A&P and our funds are focusing on the wealth management industry, which is much bigger.

Don’t forget that our central government really wants us to move into the Greater Bay Area, which is a huge market for Macau companies and banks as well. So actually, we are partners. We work together, shoulder to shoulder.

There has been much talk about the GBA Wealth Management Connect scheme. Will you be playing a role in this respect as well?

A.K.: That’s why we have designed this fund under a low-risk structure. Only a low-risk public fund will be allowed into the Greater Bay Area.

B.A.: We have to be careful because, in terms of legislation, what is considered a risky factor in one jurisdiction might not be in another. I really hope that we can work with AMCM to push this product along in the Greater Bay Area.

Looking further down the road, you have a business development plan with regard to having a portfolio of funds. What would be the next steps? Income funds? Bond-based funds? Private equity funds?

B.A.: This has to be worked out in conjunction with AMCM. They’re the ones capable of approving certain types of funds. Hopefully, we can tap into the main criteria, which are bonds and equity. I think this is something that is missing, but again, it depends on the financial development of Macau and the city’s financial literacy. And we need a lot of feedback from this first fund to see what worked and what didn’t work. This whole process is very market dependent too.

If everything aligns again, and if we think that the income side is important, then it’s something that we will tap into.

Right now, we are launching a prime money market fund, which is based on fixed time deposits and similar money market instruments. Hopefully, in the future, we can launch a government money market fund, which is actually the most popular version of a money market fund, and that’s based on government-issued securities only.

That will also depend on how far the regulator will go in terms of allowing the secondary markets to have access to certain tools, right?

B.A.: Well, this relates to M-bills (AMCM issued Monetary Bills) which are being traded in the primary market but not yet tradable in the secondary market. Taking such a step is a great opportunity, not only as a testing ground but also to gauge the depth of an instrument that is based in MOP. So it’s circular. One of my objectives is to see how we can unblock that.

A&P’s life has always been about proving people wrong and trying to break barriers. I think M-bills are one barrier, but for me, the money market fund is not done yet. And I think we still, as a population, require a government money market fund, and Monetary Bills perfectly reflect that. So hopefully, we can, in the near future, work with the authorities to try and unblock certain barriers.

This brings us to the wider issue of the overall infrastructure to develop the city’s modern finance industry. Where are we in this respect?

B.A.: When we say modern, we have to say modern with Macau characteristics. This is a very important idea. Otherwise, many aspects of Macau remain underdeveloped. When we compare ourselves to financial centres abroad, it’s understandable to feel we’re behind. So, when we discuss digital currencies or blockchain, these are significant 21st-century developments. But are we embracing them fully in Macau? That was my initial concern. Our journey to launch this fund has revealed that much of our industry still lags behind. While modern financial developments are a commonplace in Hong Kong and other financial hubs, Macau has a different story.

When we aim to develop modern finance or a new industry, we need to work closely with the regulator. However, there’s often a discrepancy in the pace we should adopt. Tomorrow might be too early for the regulator, but for us on the private side, today could be too late.

So, we need to find a marriage and a balance. We must test things step by step to see what works and what is viable.

In a broader sense, what are the main drivers and takeaways of this project?

B.A.: My idea for A&P is that it’s not just a slogan; it’s really the truth: we are genuinely trying to redefine the capital relationship. And the first chapter is MOP as an investment currency.

A.K.: We are trying to connect with people from around the world. Let’s build a team and then roll out more tools and products for Macau, Hong Kong, mainland China, Singapore, or even Portugal and the Portuguese-speaking countries. This is our platform.

《商訊》2024年7月 | 總監之言 – 馬天龍

常言道：魚與熊掌不可兼得。區域整合確實是一條雙向大道，或者更恰當地說，這是一條多入口林蔭大道。正如全球化透過增加人員、商品、服務和資本流動性，創造更廣闊的經濟和社會利益一樣。區域整合同樣有成敗之分。成功的整合取決於漸進的方法，輔以能有效緩解其副作用的舉措。 

最近，內地政府推行了多項措施，致力解決區域整合過程中出現的不平衡。當中包括延長持赴港澳商務簽注的內地居民在特區的可停留時間、為參加“琴澳旅遊團”的内地居民提供多次往返澳門的簽注、批准增加內地8個省會城市赴港澳“個人遊”，以及提高由港澳入境居民免稅額度。 

為進一步刺激北向流動性，内地政府向非中國籍港澳永久性居民發放5年多次入境旅遊的許可證。此舉廣受好評。 

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Chief Executive Ho Iat Seng is planning to formally announce his candidacy for a second term as head of the SAR Government following the August 11 election of the Chief Executive (CE) Election Committee, Macau News Agency (MNA) has learned.

Ho is enjoying a long annual leave period which started on June 21 and has recently been extended to July 19. It is the first effective annual leave period he has taken since assuming office as Chief Executive on December 20, 2019, sources noted.

Following last week’s announcement of the annual leave’s extension, there has been speculation concerning Ho Iat Seng’s health and whether he would be standing in the upcoming CE election. However, sources assured MNA that his health condition is good and that Ho, who has been resting outside the SAR, will be seeking a second term as Chief Executive. He will be formally announcing his bid to join the CE election after the members of the CE Election Committee are selected on August 11, sources added.

Following the visit to Macau in May by Xia Baolong, Beijing’s top official in charge of Macau and Hong Kong affairs, Ho said the upcoming CE election had not been addressed in the meetings. He added that, at the time, May 19, he didn’t have anything to share with the public yet.

The August 11 election will select the 400 electors from different sectors of local society who will be choosing the CE. Existing electoral rules mandate that the two elections should be at least 60 days apart, indicating that the CE election could be held on October 13 at the earliest, as it is the first Sunday after the 60-day period. CE elections have consistently taken place on Sundays.

Ho Iat Seng’s predecessors, Edmund Ho and Chui Sai On, both served two five-year terms. With the exception of the first CE election, held in 1999, there has always been only one candidate on the ballot.

Macau Business magazine l July 2024

By José Carlos Matias – Director

We often hear the saying: you can’t have your cake and eat it too. Regional integration is indeed a two-way street, or perhaps more aptly, a multiple-entry boulevard. Just as globalization brings broader economic and societal benefits through the increased mobility of people, goods, services, and capital, it also creates winners and losers. Successful integration hinges on a gradual approach, supported by measures to cushion its side effects.

In recent weeks, mainland authorities have implemented several measures to address this balance. These include extending the stay for mainland Chinese individuals holding business visas for Macau, introducing a new multiple-entry visa arrangement for package tours between Macau and Hengqin, adding eight mainland cities to the individual visit scheme for the SARs, and increasing the duty-free allowance for arrivals from Hong Kong and Macau.

In a further step towards enhanced northbound mobility, non-Chinese permanent residents of Macau and Hong Kong will now enjoy a multi-entry travel permit of up to five years for mainland entry—a much-welcome development.

While these gifts from the central government are significant steps to support the city’s business development, is the SAR government doing enough locally to counter the impact of domestic consumption outflows and address the socio-economic challenges faced by numerous SMEs?

Some measures have been adopted. For instance, in mid-June, the SAR announced an extension of the repayment period for interest-free financial assistance provided to local small and medium-sized enterprises (SMEs) and young entrepreneurs. This was an absolutely necessary move.

However, the lifeline needs to be extended further for these companies. Despite encouraging tourism and gaming figures (though the latter have seen some recent slowdown), data, business surveys, and naked-eye observation are crystal clear: you can’t sweep it under the rug. Food and beverage establishments, especially those outside integrated resorts and tourist hotspots, various types of retailers, particularly supermarkets, and watch-clock-and-jewellery shops, have seen year-on-year double-digit declines, sometimes by as much as one-third. A number of these businesses are being left with no option other than closing for good.

Local consumers have cited as significant advantages the better value for money and superior customer service obtainable across the border, which may seal the fate of many small businesses here. Who can blame them?

A handful of pressing questions arise: How do we cope with this? How can we increase competitiveness? How do we lower fixed costs, such as commercial property rentals and labour, and improve service quality to stem the outflow of local consumption and attract visitors, especially to residential areas?

Any suggestions? How about rolling out an e-consumption voucher scheme modelled on those used during the pandemic? Or perhaps, even bolder, consider transferring part of the cash handout to a local consumption voucher plan? True, giving a man a fish will feed him for a day, while teaching him to fish feeds him for a lifetime, but the clock is ticking, and there is a need to do both at the same time at this stage.

We often hear the Government say: there’s only so much we can do. Is that really the case? Besides policymaking, is there a deeper issue—one related to the mindset in the local business sphere?

In any case, it seems clear that while a number of local companies and businesspeople are venturing into Hengqin or other areas of the Greater Bay Area, encouraged by existing incentives, there is a need to ensure that the small businesses remaining local—the lifeblood of the city’s way of life—have a future, one that younger generations can feel confident about.

One hopes the current and the incoming government (and socio-economic actors) will have the ability, determination, and conditions to effectively make the cake bigger and more inclusive, ensuring that SMEs aren’t left to live on crumbs. And, by the way, it would be wise to ensure that the lion’s share is not seized by the entrenched interests that hinder our city’s modernization.

The city’s first locally registered open investment fund solely denominated in patacas is being launched today (Wednesday).

Leading this initiative is A&P Investment Fund Management Company Limited, which secured a special license from the Monetary Authority of Macau—the first of its kind—and received approval in May to establish the “A&P Macau Patacas Money Market Fund.”

Being denominated in the SAR’s local currency carries special significance, explains Bernardo Alves, chairman and founder of the company. “Something I wholeheartedly believe is that we, as a society and as locals, need the ability to invest in the currency in which we earn our salaries. It’s natural. So we are going to test this market,” Alves told Macau Business in an interview to be published in the magazine’s July edition.

The company aims to impact the local financial ecosystem with this step. “I think we are shaking and shaping the local financial ecosystem, particularly the fund industry, by creating the first MOP money market fund,” A&P CEO Abraham Kot emphasised.

The fund leverages Alves’ nearly two decades of experience in public and private equity investments, and Kot’s over three decades of experience across retail, commercial, and corporate banking, as well as investment fund management.

In 2021, Bernardo Alves and Abraham Kot decided to apply to create an investment fund management company in Macau, which was eventually established in early 2023, with a special registration from the Monetary Authority of Macau (AMCM) granted in June 2023. The permit to launch the “A&P Macau Patacas Money Market Fund” was published in the Official Gazette in early May.

《商訊》2024年6月 | 總監之言 – 馬天龍

負責港澳特區事務的中央高級官員夏寶龍到澳門展開了為期七天的考察調研，這是非一般“考察”。與鄰埠類似，此為夏主任一年來的第二次來訪。與2023年5月相比，今次調研工作的基調、實質和背景已截然不同。 

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Macau Business magazine l June 2024

By José Carlos Matias – Director

The recent seven-day visit of Xia Baolong, Beijing’s top official in charge of the SARs, was no ordinary “inspection”.

It was the second tour of its kind in one year, mirroring Xia’s visits to the neighbouring Hong Kong SAR. And for Macau it carried a different tone, substance and context compared to the one in May 2023. A key takeaway was the focus on “polishing the golden business card of Macau as an international metropolis”. While those less enthusiastic might suggest this sounds like “old wine in new bottles”, we believe that Xia’s message, with such emphasis at this juncture, carries special significance.

It brings to light unfinished tasks and serves as a mobilising and encouraging factor in the drive to meet targets and swiftly implement policies. Government and key economic and social actors are required to rise to the challenge. We need to get this right. The city’s “internationalisation” bar has just been raised by the central authorities – a much-welcome development.

As suggested by the Director of the Hong Kong and Macau Affairs Office, leveraging the SAR’s advantages is of paramount importance. These advantages are closely intertwined with Macau’s distinctive features, which can be turned into a maximised competitive edge. This may sound self-evident, but some in the local elite need to be constantly reminded of the fact.

It’s all about making up for lost time, speeding up and improving ongoing initiatives, and stopping the dragging of feet in key areas. At the risk of sounding like a “broken record”, we reiterate: bold measures are more advisable than a piecemeal approach.

A polished international metropolis implies stronger efforts in welcoming more highly skilled professionals from around the world. That metropolis should have the ambition to compete with peer hubs such as Singapore, Hong Kong and Dubai in attracting top-notch talent in designated areas. The talent attraction scheme, launched last year, was presented as the missing tool to level up the city’s attractiveness. It was certainly a key step, but is it yielding results quickly and broadly enough given the intense competition from metropolises in Greater China and the Asia-Pacific region? The case for recalibrating and expanding this mechanism is growing stronger.

On the visitation front, while tourism recovery gains steam, there remains a gap between the pace of recovery of overall visitors and that of foreign arrivals. As we move forward, one expects that gap to gradually close, hopefully as a result of the intense promotional roadshows recently held in Southeast and Northeast Asia. Additional moves are expected in this respect. Here, the expansion of multilingual customer service surfaces as a key direction, which also implies further opening the imported labour door, in addition to better equipping the local workforce.

An issue – a rather embarrassing one – that has been plaguing visitor experience and annoying locals is the same old taxi woes. Old habits die hard, right? The long-awaited additional 500 licences to be awarded may be a step forward, but it’s likely to be too little, too late. Tackling the taxi lobby’s vested interests head-on is a must, as is implementing thoughtful arrangements allowing ride-sharing services and platforms, which are tested and well-functioning elsewhere (starting in the neighbouring Greater Bay Area cities).

All this can leverage the important “tourism+” strategy, which emerges as a key pillar in polishing Macau’s international allure. This is reflected in the “City of Performing Arts” and “City of Sports Events” directions. While there has been much focus on developing the city’s concert economy – more international acts are highly desirable in this respect – sports events are also a key direction, as elaborated in this issue’s special report. As we are one year away from being one of the host cities of the National Games, this is, as we point out, “an opportunity that cannot be missed” for Macau, nearly two decades after the SAR was home to the East Asian Games, the first of three multisport international events held between 2005 and 2007.

All in all, with the bar raised and higher stakes, it’s time to jump higher and shift gears.

A civil engineer by trade, chairman of the British Chamber of Commerce in Macau, and leader of the Macau chapter of the charity Lighthouse Club, Keith Buckley’s journey began in Germany, passed through several countries, before settling in Macau to oversee the construction of Sands Macao and The Venetian Macao two decades ago. His achievements recently earned him an MBE in King Charles’ New Year Honours List.

By José Carlos Matias

Born in post-war Germany to a British family, Keith Buckley’s upbringing in a foreign land laid the foundation for his later ventures across continents. After the war in 1946, his father went to Germany where Buckley lived until he turned 18. Growing up in Germany during a time of post-war reconstruction shaped Buckley’s perspective on the world. “The British families were told to try and employ as many Germans as they could, to help the economy,” he explains. Buckley pursued civil engineering at Surrey University in Guildford, England, setting the stage for a career that would take him across the globe.

From construction projects in Switzerland to the Netherlands, Poland to Iraq, Turkey, and eventually to Asia, Buckley’s professional journey reflects his willingness to embrace new challenges. Each assignment, from overseeing bridge projects in 1980s war-torn Iraq (at the time of the conflict with Iran) to constructing hospitals in Malaysia, forged him into a seasoned professional with a global perspective. “Working with people from different cultures makes you more tolerant,” he reflects. “I just learned to live with the people you’re with.”

Erecting Sands and The Venetian

In 2003, Buckley’s path led him to Macau, where he became involved in the monumental task of overseeing as a project director for construction management the construction of the city’s first post-liberalization casino: Sands Macao. Shortly after another major project- a rather monumental one – endeavor – building The Venetian Macao, the largest single-structure hotel in Asia. That implied causing out land reclamation at what was until then a swamp meticulous planning, coordination, and management of more than one hundred contractors and thousands of workers. “The scale and operation were huge. I’d never seen anything like it,” Buckley recalls, describing the opening of the Venetian Macao, which featured 3,000 rooms and a bustling casino floor. He remained deeply involved in Sands China’s ensuing property developments in Cotai, such as Four Seasons, Sands Cotai Central, The Parisian, and the redevelopment at The Londoner. Today, Buckley serves at a company under CESL Asia and continues as busy as ever. “I’m focusing on business development. I’m spending more time going out to meet people, looking for work, and making contacts. That’s quite interesting.”

Recognised social service

Beyond his professional endeavours, Buckley is committed to fostering connections within the community. As chairman of the British Chamber of Commerce in Macau (BritCham Macao) and the Lighthouse Club, he plays a pivotal role in organizing events, promoting business opportunities, and supporting charitable causes. At the helm of BritCham Macao over the past eight years, he and the chamber committees have been holding numerous breakfast meetings, luncheons, or the annual BritCham Ball, while bringing closer the British and other expat communities and the local society, while liaising with counterparts in Hong Kong and Guangdong. Similarly, the Lighthouse Club provides fellowship and assistance to those in the construction community, embodying Buckley’s dedication to both professional networking and philanthropy. The social charity’s aim is to provide fellowship within the construction community in abroad and inclusive sense and provide assistance to those in need and the family of those who suffer fatal or serious industrial accidents. In recognition of his contributions to the community, Buckley was awarded an MBE (Most Excellent Order of the British Empire) for services to the community. “I was very proud of getting it,” highlighting the significance of this honor in a small but vibrant city like Macau.

“For me as an expat, my home is where I am,” he reflects. And 21 years after setting foot here, this is the place where he has been based for a longer period of time.

“For now, Macau is my home, and I enjoy it.”

And 21 years after setting foot here, this is the place where he has been based for a longer period of time. “For now, Macau is my home, and I enjoy it.”

引用Tomasi de Lampedusa的一句名言：為了有所改變，我們必須讓一切保持原狀。 

《商訊》2024年5月 | 總監之言 – 馬天龍

藉Project Asia Corp.和《Macau Business》迎來20週年之際，我們在本期專題報道中整理了與小城一同見證的20項基本特徵保持不變的變化（要列出另外20項亦非難事）。 

早在2004年5月，《Macau Business》創刊號就已明確指出：“時機已到”，因為我們“正站在經濟革命的大門前”。數天後，即同年同月，澳門博彩業開放後的首家娛樂場——澳門金沙娛樂場開門迎客，昭示著即將發生的變革。儘管如此，這座受博彩業驅動的城市在接下來的數年裡經歷超出所有人預期的飛躍式成長；曾被貶義地形容為“沉睡飛地”的城市變身為金碧輝煌的“亞洲拉斯維加斯”。驚人的發展帶來了巨額收入、良好的就業機會和發展，但同時也衍生了一些副作用，當中仍有揮之不去、尚待解決的問題。這種銳不可擋的勢頭一直持續到新冠肺炎疫情來襲為止。現在我們正著手重組，希望以嶄新的姿態重新奪回陣地。 

回望過去二十載，絕非易事。從某種意義上說，澳門就是小說家João Aguiar筆下的“煙龍”：一個不斷變化的現實，往事無法重溫。然而，保存集體記憶至關重要，新聞僅“記錄歷史的初稿”。在《Macau Business》至今出版的241期雜誌中，我們把握了“時代精神”，表達了我們的聲音，為廣泛的觀點提供了平台，堅持獨立編輯，珍視透明度和社會責任。這就是我們存在的理由。我們相信，這座城市需要多元化的環境並將從中獲益良多，批評的力量才不會薄弱。 

在這本雜誌中，我們始終堅持深入探究和分析事實、數據和官方言論背後的真正問題，審視公共政策，將普羅大眾的故事帶到最前線。 

繼疫情風暴後，澳門是時候滿足人民、經濟參與者及中央當局的期望了。這十年至關重要，但時鐘已走過了將近一半。 

我們活力充沛，以國際化視野縱觀世界，繼續專注地描繪這座獨一無二的城市和大灣區的未來。 

這是一段引人入勝的旅程。始於20年前，本刊的創始人兼集團主席，也是澳門特區英語出版領域先驅，Paulo A. Azevedo邁出的一小步。正是這一小步，為我們掀開了新的篇章。在這位關鍵人物的帶領下，一眾辛勤工作的團隊成員、忠實的讀者及在這二十年旅途中加入的寶貴合作夥伴、供應商和客戶，成就了非凡的成就。 

我們期待下一個、下下一個20年。匯聚各方力量、擁抱世界幻變、保持最初的自我。 

Monaco wants to expand ties with Macau in culture, entertainment, and exhibitions. The principality is also keen on wooing wealthy families and investors from Macau and the GBA to establish a foothold in Europe. The city-state’s Secretary of Attractiveness and the ambassador to China see plenty of potential for future partnerships between ‘tiny’ Monaco and ‘small’ Macau.

By José Carlos Matias


Photos by Oswald Vas

What do Macau and Monaco have in common? That doesn’t come about as too challenging a question. Both are small-sized, with big neighbours next door, are famous for their casinos, have a flagship Grand Prix on a street circuit, and rank among the world’s top jurisdictions when it comes to GDP per capita. There’s something else: a need for economic diversification.

In 2015, an investment brought the two cities closer when Macau gaming and integrated resorts operator Galaxy Entertainment Group (GEG) became a shareholder of Société Anonyme des Bains de Mer, the company that owns and manages the renowned Monte Carlo Casino, Opéra de Monte Carlo, and Hôtel de Paris, among other venues in the Principality of Monaco.

Monaco’s Secretary of Attractiveness, Development, and Digital Transformation, Frédéric Genta, and the principality’s Ambassador to China, Marie-Pascale Boisson, sat with Macau Business during their stay in the SAR in April at the invitation of GEG. They both held several meetings in the city, including with local authorities.

Culture and lifestyle link

Culture, exhibitions, and entertainment emerged as areas to forge ties, as Macau doubles down on the “tourism+” strategy. “We have to collaborate more on culture, sports, entertainment, and exhibitions. We can bring more Asian culture to Europe and more European Culture to Asia,” Frédéric Genta told Macau Business. As Monaco and the People’s Republic of China celebrate the 30th anniversary of the establishment of diplomatic relations in 2025, the coming year may bring related cultural events to the SAR. “We will be holding high-level celebrations and Macau will also be part of it,” said Ambassador Marie-Pascale Boisson, recalling the “GRACE KELLY: From Hollywood to Monaco – Artists’ Tributes” hosted by Galaxy in 2019 in a joint initiative of the Macau SAR Government, GEG Foundation, and Grimaldi Forum Monaco. Back then Princess Charlene of Monaco was in Macau for the opening of the exhibition.

The two cities have a lot to offer and learn from each other, Ms. Boisson emphasises. “In Monaco, we have our own lifestyle, elegance, charity events, and glamorous culture.” This can be brought to Macau while the SAR can share its accumulated professionalism and modernity in integrated resorts development and tourism, she adds. Secretary Genta agrees and suggests that it could be interesting to bring charming musical acts and ballet from Monaco to town or sports teams such as the principality’s highly regarded football team AS Monaco, which competes in the top tier of French football. “I anticipate more and more partnerships and exchanges with Macau and the Greater Bay Area,” Mr. Genta added, stressing the “very special relationship” between the principality and China, as shown by Xi Jinping’s visit to Monaco in 2019 and when Prince Albert II was in Beijing for the 2022 Winter Olympics. High technology is another key area developed in bilateral relations; in September 2018, Monaco Telecom and Huawei signed an agreement that resulted in Monaco being the first European country to develop 5G.

Digital extension

Digitalization has been at the forefront of the city-state’s modernization strategy as it allows it to break free from its 2.08 square kilometre area (less than one-tenth of Macau’s area). When a place is this small, “you effectively need to extend your capacities and opportunities,” he explains. That’s why the Extended Monaco program aimed at accelerating the digital transformation of the principality was launched, something that can be a pillar for cooperation with the SAR, he believes. “Macau and Monaco, we both have strong brands to make our countries shine out of our small frontiers both using digital platforms and sharing culture all over the world.” On the business front, the Monegasque authorities are keen on deepening ties and promoting exchanges with Macau on core economic activities such as finance and gambling.

‘Second base’

The two cities grapple with issues of being too dependent on specific sectors. While gaming accounted for half of Macau’s economic gross added value (pre-pandemic), Monaco is mostly reliant on real estate and finance, which account for 20 and 17 percent of the GDP respectively. “We need to diversify our revenues,” Frederic Genta recognises, adding: “We are lucky enough to be in a digital time where physical size doesn’t matter as much as before as we can grow our brand, business in digital without needing too much land.”

The principality, a very-low tax jurisdiction which is known for not collecting personal income tax or capital gains taxes, is also promoting itself as a potential second base for family offices and investors from Macau and the Greater Bay Area to give them a foothold in Europe. “They may be interested in establishing a subsidiary in Europe based in Monaco and work with a Monegasque bank.”

“These kinds of things are really tangible,” Mr. Genta concluded.

Rita Santos has been involved since the inception of Forum Macau, serving as Deputy Secretary General and Coordinator of the Support Office of the Forum’s Permanent Secretariat from 2003 to 2015.

When the Chinese Central Government launched the Forum for Economic and Trade Coordination between China and the Portuguese Speaking Countries (Forum Macau) and established its Permanent Secretariat in the SAR, one of the aims was to promote economic diversification, Rita Santos emphasises.

Twenty-one years on, the city has hosted six ministerial conferences – the latest held last month – and countless events, including trade shows, exhibitions, business matching sessions, and meetings, took place under the umbrella of the Forum and were financed by the Macau SAR.

Local value

Despite the advancements in bilateral trade and investment achievements, some local voices from the business community have expressed frustration over the involvement of the city’s companies in the wider and ever-expanding Sino-Lusophone exchanges. Rita Santos agrees that there is a need to promote a deeper role for local companies and businesspeople. “It is important to involve more Macau businesspeople in the bilateral and trilateral cooperation between China and the Portuguese Speaking countries,” she stresses.

Ms. Santos, who is also a businesswoman, sees plenty of potential for the city’s business community in linking Lusophone companies with the 80-plus million market in the Guangdong-Hong Kong-Macau Greater Bay Area (GBA). “Local businessmen can assist the PSC companies and businessmen to enter the Greater Bay Area market.”

This has been a key proposal she made two decades ago when she suggested to China’s Ministry of Commerce to include a Macau business delegation in the missions to Portuguese Speaking countries. “Our companies and professionals such as architects, lawyers, and consultants have a deep understanding of the PSC’s cultures and social values, which are an important asset for this platform,” she notes.

Rita Santos also proposes that each Portuguese Speaking Countries should be proactive in coming up with a list of feasible projects that can generate interest from Chinese partners, with a role for Macau businesspeople. “This way, the Macau business platform can be more effective,” asserts Rita Santos, who is also president of the General Assembly of the Macau Civil Servant’s Association (ATFPM).

Pragmatic approach 

 Rita Santos, who joined the 6th Ministerial conference as a former top official at the institution, noted that the overall tone of the speeches was “very pragmatic, proposing several projects in various areas of economic and commercial cooperation between China and Portuguese-speaking Countries, using Macau’s role as a platform.” She was glad to see that “they recognise the special advantage of Macau in facilitating the arrival of companies from speaking countries to China.” Another key takeaway was that the Forum member countries’ representatives “want the Macau Forum to be able to help small and medium-sized companies in implementing projects and forming partnerships.”

Moving forward, “it is time for local businesspeople to effectively realize Macau’s role as a platform by taking advantage of the new incentive policies for setting up companies in the interior of China, especially in the Greater Bay Area cities.”

How to get there? Rita Santos singles out a couple of moves she deems key: “It is necessary to simplify the China-Portuguese Speaking Countries Cooperation and Development Fund and facilitate Macau’s banking institutions in issuing letters of credit for commercial activities.”

Macau Business magazine l May 2024 l 20th anniversary edition

By José Carlos Matias – Director

Inverting a famous quote by Tomasi de Lampedusa, if one wants things to change, things will have to stay as they are.

On the occasion of the 20th anniversary of this magazine and the group to which it belongs (Project Asia Corp.), we outline 20 changes this city has witnessed (we could easily have named another 20), along with features that have remained basically unchanged, in this issue’s special report.

Issue Number One of Macau Business, published back in May 2004, stated it clearly: “The Time is Now”, as we were “standing on the verge of an economic revolution”. A few days later, in that same month of May, the opening of Sands on the Macau peninsula – the Region’s first post-liberalisation casino – heralded what was to come. And yet even those expectations were surpassed in the ensuing years by a gaming-driven boom that transformed a once (somewhat derogatively labelled) “sleepy enclave” into what then became widely branded as the thriving “Las Vegas of Asia”. This breakneck growth brought a windfall of revenue and robust job creation, growth and development, but it also generated side-effects which still linger today and have yet to be tackled. It was a winning streak that ran unabated until the COVID-19 pandemic struck hard, and now we see the city regaining ground under a restructured model.

Taking stock of 20 years is no easy task. Macau, in many ways, lives up to the “Smoke Dragon” title of João Aguiar’s novel: its reality is ever-changing, and the past cannot be relived. That being said, preservation of our collective memory is essential, and journalism serves as “the first draft of history”.

In this magazine’s 241 issues to date, we have captured the ‘spirit of the times’, expressing our voice while also serving as a platform for a wide range of perspectives, upholding editorial independence, and cherishing transparency and social responsibility. That has been our raison d’être. We believe this city needs and benefits from a diverse and pluralistic environment, one where criticism is seen as helpful and is not met with thin-skinned reaction. 

In this magazine, we’ve always strived to go beyond the figures, and official rhetoric, delving deeper into issues, while bringing businesses and people’s stories to the fore.

Having weathered the pandemic storm, Macau is now racing against the clock to meet the expectations of its people, of economic actors, and of the central authorities. Our current decade is a pivotal one, and it’s nearly halfway gone already. 

At Macau Business we remain highly motivated to explore what lies ahead, here in this special city, the wider Greater Bay Area and beyond, from multiple perspectives and through local and cosmopolitan lenses.

This has been a fascinating journey, one that began 20 years ago with a small-step-big-leap taken by this publication’s founder – a pioneer in English-language publishing in the SAR – and the Chairman of our group, Paulo A. Azevedo. All that has been achieved has its foundation in the essential role he has been playing, in the talent and hard work of our team members and contributors, and in the loyalty of our faithful readers and valuable partners, suppliers and customers who have joined and remained with us on this two-decade journey.

We look forward to another 20 years and beyond: aggregating value, embracing change and staying who we are.

文：馬天龍 （於香港報道）

攝影： 王少群

滴灌通(Micro Connect)主席、香港交易所前行政總裁李小加將國際資本通過澳門，引到中國内地小微企業。面對這一挑戰傳統金融的創新金融市場，他深入探討其基本原理、成果和抱負。 

滴灌通澳門金融資產交易所（滴灌通澳交所，MCEX）正式營運一年後，香港交易所前行政總裁李小加接受《Macau Business》、《商訊》、澳門通訊社(Macau News Agency)和視頻新聞（MB.tv）專訪，分享他的願景和抱負。 

面對即將到來的金融服務“Amazon moment”，李小加解釋了MCEX核心的數字時代驅動和啟用金融工具的運作方式。作為澳門持牌交易所，MCEX允許專業投資者以投資換取企業未來固定期限內、一定比例的營業收入分成，保障了未來收入的權利。他預計，就籌集的資金而言，MCEX數年後將可與香港股市相媲美，為新一代數字專營國家級市場在全球範圍內的採用鋪平道路。 

一年前，我們見證了滴灌通澳交所的正式啟動營運。能與我們分享過去一年的心路歷程嗎？ 

李小加 – 最初，我們扮演主要投資者的角色。今天，我們看到參與度顯著增加。截至目前，我們已在中國内地200座城市投資超過15,000家商舖，累計投資達人民幣42億元。這就是所謂的“澳門式IPO”，現在每天不斷循環。一切進展順利。 

為何是澳門？你可以選擇香港或其他成熟的資本市場。請告訴我們關於進駐澳門的背景故事。 

李小加 – 我們的使命是架設連接全球資本與中國小微企業的橋樑，這也是我們的出發點。投資方在中國內地境外開展業務，資產方卻在境內營運。發行這些基礎憑證的市場營運商必須是國際化的。因此，我們沒有選擇內地為駐點。 

在香港、新加坡、澳門和其他可能性之間，我們與多個不同司法管轄區進行了討論。有必要讓人們了解產品的運作方式，因為底層資產是內地的每日收入分成合約(DRC)。然而，當DRC要轉成一種國際認可的憑證時，“每日收入分成憑證”(DRO)應運而生。 

然而，大多數監管機構都會問同樣的問題：這屬於證券產品嗎？又或者是期貨？抑或是其他傳統的金融商品？都不是。它是一種受到數字時代驅動並得以應用的革新性金融工具。 

儘管我們仍繼續與所有其他司法管轄區對話，但一切都歸結為您選擇了哪個盒子。當我們與澳門展開探討時，特區政府對此感到非常熟悉，因為他們一直這樣做了數十年。 當娛樂場開門迎客後，只要每天有營業收入，政府都直接向娛樂場徵收每日所得稅。 

我們以與之類似的方式，投資者向一家商舖提供資金，以換取每日收入分成的權利。正是這種相似性使澳門政府能夠立即了解我們提出的真正內容，尤其是這種嶄新金融產品得益於其“每日分成”的特徵，能輕鬆進行風險管理。 

與澳門當局的交流如何？您如何看待他們的做法？ 

李小加 – 澳門特區政府的兩項特徵令我印象深刻。一，就策略而言，澳門需轉變為一座與別不同的城市且真正邁入數字時代，這有賴一個長遠的宏觀視角和清晰的願景。 

同時，特區需因應不同的社會需求實現現代化，特區是考慮到其傳統的產業重點。金融服務自然會朝這一方向發展。正是對未來前景的遠大策略重點和願景，轉化為真正強大的開放、創新和包容心態，這是響亮且清晰的。其次，在技術監管層面，我們也受到另一種心態的觸動，即我們從來沒有一個真正的、傳統金融的大型傳統生態系統，正如您所知的那樣，但由於我們從不曾擁有這樣的生態體系，大多數人認為這是碌碌無為的根由。 

儘管我們或許落後於人，但我們的心態是，“好吧，讓我們把生態系統的缺失轉化為優勢。”事實上，當您手中的是一張平凡無奇的白紙，這意味著你能夠更自由、更靈活地描繪未來。這種心態使監管機構能夠擁抱新的數字革命，認識數字時代帶來的潛力和影響，不會因陳規舊習受到限制或阻礙。 

您們主要辦公地點位於香港，在上海、北京、成都也設有分支機構並發揮重要作用。請您與我們分享在澳門的實際經營情況。或有讀者會問：澳門的GDP、就業等方面將從中獲得何種益處？ 

李小加 – 這是一種新的投資方式，資產位於中國內地，未來可能發展至全球範圍內。資金來源目前集中在中國境外，是全球性的、國際性的，但未來也可能出現來自中國的資金。交易所獲許可在澳門設立和運作。 

人們有時會問，澳門如何融入這一切。我的回答通常是：大金融一般包括銀行和大型保險公司。這些機構大多不會就此作出改變。他們不會採用這種基於企業每日營收的嶄新投資方式。他們的關注點集中在固定收益債券、債務、貸款或股權；僅此而已。讓我們想像一下，投資大佬們說：“我只吃麵包”，這是固定收益，或“我只吃麵條”，又或“我只買麵條”，這是股權。 

麵包和麵條就如同證券等傳統金融產品。但我們在中國做的，至少現在，確實是有別於證券的商業合約。所以，我們在內地將之稱為“每日收入分成合約”(DRC)。這幾乎與種植小麥一樣；實際上，我們就是在那裡種植農作物。但大佬們卻說：“我不明白什麼是農作物。什麼是小麥？我只知道麵包或麵條。” 所以他們不會願意進行探究。因此，我們只能想方設法地引進國內的小麥或合約。首先，為國內的資產提供有效的國際身份證明，這就是每日收入義務產生的原因。“每日收入分成憑證”（DRO）是由國際市場營運商澳門交易所發行的憑證。將相應的DRO與 DRC釘在一起後，只要在國際市場上購買了DRO，都將獲得該DRC議定的所有回報。因此，DRO可被視作我們在澳門將小麥烘乾並製成麵粉的工具。正因如此，我們透過提供一份有效的國際文件，將之轉化為可投資的格式。DRO國際憑證是麵粉，但香港、新加坡、美國、倫敦的大佬們仍會堅持說，“我不懂什麼是麵粉，我只懂麵包和麵條”。所以，我們要將所有個人合約DRO打包，放入“每日收入分成組合(DRP)”的籃子中。 

然後你把當中優先系列交給銀行，因那些產品更接近麵包；有的看起來和證券差不多； 也不乏與債券相似的。 

澳門現已成爲了這種新型金融產品未來供應鏈或製造鏈中的關鍵一環。 

在滴灌通中，我們將小麥帶到澳門並將其製成麵粉，然後將麵粉改造成麵包或麵條。因此，未來，澳門將永不可逆轉地處於這一創新金融行業的生產線之中。未來對内地小微企而言，澳門將是所有金融產品的中央磨粉廠。 

這如何體現在澳門特別行政區的稅收收入和當地居民的高技能和創新就業上，或吸引外國人才到澳門？ 

李小加 – 這條生產線目前有一個非常重要的環節就是將小麥轉化為麵粉，當中最重要的部分就是個體合約、每日數據披露和發佈。因此，投資者將對麵粉的基本成分產生巨大的興趣。你知道，他們將是營銷機構、分析公司和數據公司。所有這些以底層資產為中心進行，因為這是最終投資者與之相關的全方位服務。 

這也將有別於香港、新加坡、紐約或倫敦的交易所市場。這些傳統金融市場要求所有資金和人員都集中於此，且所有監管實體和法規均以其爲核心。因此，當今的世界級金融中心屈指可數，資金一旦進入一個地方，就不會真正消失。這是恆久不變的。 

但MCEX將成為全球首個每日收入分成產品市場。它是數字化的，這意味著我們能夠成為全球交易所，一切都透過數字技術連接起來。因此，我們將成為新一代的資本集中地，這不局限於實體資本，更重要的是真正資本背後的所有數據，以及這些底層資產的價格配置、價格設定及所有估值決定因素。所以我認為人們需要考慮的不是我們將在澳門招聘多少人手，或將開設多少家分行。我認爲，我們應考慮這座城市將成為神經中樞、數據中心、真正的資訊匯聚地，這需要大量的傳統人才和資本。但我們不會成為全球金融的核心，因為核心是資金實際流動之處。我們將成為世界脈絡的心臟中樞，資金在此得到有效的引流、輸送、計算、評估，以及厘定轉讓價格。這將是一個更好的地方。 

對於小商舖來說，資料共享和透明度方面有什麼要求？ 

李小加 – 由於我們無法真正了解大街上單一商舖的收入，故需藉助 “節點企業”(connect partners)的力量。 

我們透過“節點企業”建立了現有網路。已經擁有數百家商舖的連鎖店或品牌便是當中的典型例子。他們完成了連接並設有系統，母公司已著手籌集資金。您知道，他們已經完成了貓捉老鼠遊戲，排除了可疑人物等等。只有這樣你才會把自己的收集器放在他們現有的系統上，因為我們不會再次返回並複製一個新的全國系統。這確實有賴現有的“節點企業”，且這通常都是數位化。 

根據與商業房地產營運商合作的經驗，我們意識到他們同樣能夠成為可靠的“節點企業”，因為他們能夠直接控制時下的商舖。如果業主成為您的合作夥伴，您能做的就是把租約在澳門列為DRC。作為交換，您需要對購物中心內的商舖進行數位控制。透過這種運作方式，您能夠為租賃融資。 

只要您對商舖投入足夠的關注，還可以著手為購物中心內商舖的其他資本支出提供資金，因為您仍然擁有大量現金，這在許多其他國家和地區都是可行的。 

此外，商舖都設有錢箱，您需要確保投資者每天都知道錢箱內的現金數量。因此，儘管我們或許無法每天拿到現金，但我們知道其中的現金數量。您可以每週或每兩週進行一次結算，讓房東成為當地合作夥伴就能完成這一任務。 

在這種模式下，房東與投資者的利益完全一致，因為若房東任務失敗，投資者就知道購物中心的商舖是不可投資，只能退場。 

因此，對於他們來說，如果他們希望所在的購物中心繼續獲得融資，他們真心希望並確保協助投資者建立這類數字化兼增強現金可收回性。這個能夠與業主合作，一旦成功，便能夠選擇到東南亞甚至澳門或香港等市場，這裡仍擁有有大量現金。 

這讓我聯想到今年年初推出的《通用標準》。您能否分析這一工具並與我們分享市場的回饋？ 

 李小加 – 投資者將需要購入成千上萬的小額現金流。有必要制定讓一切都標準化的制度。比如說，我賣給你西瓜，我賣給你粟米，我賣給你薯仔，無論我賣給你什麼，都必須透過一個集中化和標準化的方式呈現，五個蘋果和一個西瓜，也許一些玉米的等量是……所以本質上你必須建立貨幣標準。因此，每一份合同，無論業務範圍——麵館、髮廊、或汽車維修——都將標準化，以至於我們有一定的參數。所以，你幾乎正在創建一種每個人都會使用的貨幣。 

請與我們分享這15,000家商舖的情況。他們是誰？他們位於內地何處？ 

李小加 – 他們無處不在。這15,000間商舖遍佈中國200個城市。四川的數量最多。每店平均投資規模為30萬元。業務範圍涵蓋零售、餐飲、服務、文化和體育活動。餐飲方面，我們有休閒食品、速食、外國菜餚、甜品、烘焙等等。如果你看服務業的話，美容服務、居家服務、醫療服務、旅遊服務、保健服務、汽車服務等任君選擇。從一線城市到五線城市來看，春節是四、五線城市增長的黃金時間。所有人都回家了，並在家鄉消費。 

該市場面向機構和專業投資者。那麼個人投資者呢？他們日後能夠參與其中嗎？ 

李小加 – 在可預見的將來或許都無法實現。請記住，如果香港上市公司能夠買麵條，那麼散戶就能夠買他們的股票。但他們集中於此的原因是因為我們不相信散戶了解每家商舖的運作方式，這也是對商舖的推廣。該產品之所以有效的原因是銀行和其他大型投資機構均有意投資。數量龐大，多元化程度之高，人們實際上感覺到回報的品質要高得多。所以，我認為短期內我們可能不希望有散戶。此外，我們也不會向中國和內地的投資者籌集資金。 

從長遠來看，您預計會到內地籌集資金嗎？ 

李小加 – 未來是肯定的，但這需要中國監管機構能夠坦然面對網路金融、點對點（P2P）融資等所有金融創新帶來的影響。這些金融創新實際上是聚集散戶投資者的資金，然後向他們講故事，這些最終都將演變成龐氏遊戲。中國需要大量時間以消化這些失敗帶來的痛苦。 

我們是一位偉大的創新者。我們相信我們與之存在根本的區別，但我們仍希望給監管機構時間和空間去解決這些問題，直到他們能夠更好地了解我們所做的事情，直到我們更加成熟，讓他們更有信心相信我們的與別不同。 

就中國經濟的實際形態而言，人們針對中國疫後復甦的穩健性發出了不同的訊號且存在一定程度的懷疑。某些投資基金和顧問公司對整個經濟和內需的未來發展表示質疑。您對此有何看法？ 

李小加 – 顯然，經濟正在經歷週期性結構變化，這確實帶來了痛苦。但從投資人的角度來看，導致人們持懷疑或悲觀態度的原因並不在實體經濟本身。這實際上取決於他們評估情況的方式，這與傳統金融看待問題的方式有密切關係。他們感到懷疑是因為傳統的投資方式是投資公司，繼而投資股權。投資者投資的股本能否賺錢，不僅取決於公司獲利的方式，還取決於公司的倍數，即估值。當你有一個估值倍數時，這本質上取決於他們的集體感受。經濟好不好？那麼這家公司的本益比可能是 15、20、30 倍。但如果沒有人喜歡它，如果人人都認為經濟疲軟，那麼公司的本益比將是8倍，價格則相應下跌。投資者因此損失了，但是標的公司的利潤不一定出現變化，又或變化的程度不如下跌的幅度高。倍數的改變讓投資者產生一種感覺，即正在賠錢或正在賺錢。 

但對我們來說，客戶投資的並非大型企業、或公司、商舖的未來。我們只關注這一特定位置的特定商舖。其營收足以讓我收回投資嗎？這是一種非常不同的看待方式。比方說一家麵館，一家高端的魚翅麵館，價格相當昂貴，但也非超級貴。如果今天的經濟和消費都在下滑，店家經營的是中等到昂貴的麵店生意，那將失去一些顧客，因為他們無力購買您的商品，他們會選擇到更便宜的麵店消費。但別忘了，曾光顧高端店家的顧客之前或許也是消費不起的，但你實際上是感覺不到。唯一有這種感覺的就是魚翅麵館的夥伴們。因此，來到今天，如果你身處經濟最昂貴的部分且希望人們總是旅行、大手大腳地消費，那確實十分困難。但當您和餘下九成人都一樣，您的業務基本上保持不變。 

MCEX會加入金融市場冠軍聯賽嗎？這將會在何時發生？ 前景如何？ 

李小加 – 前景？好吧，我們先和香港交易所比較。首先，人們對香港的深刻印象很大程度是因為其股票二級市場交易。對於我們來說，我們更多的是一個投資市場，非二級交易市場。因此，從交易的角度來看，我們是蘋果和橘子，但從融資的角度來看，我們是一樣的。 

香港交易所每年約有100至200隻新股上市籌集資金，平均每隻籌集10億港元。因此，我們談論的一共是2,000億港元。 

五年後，如果一切按計劃進行，MCEX每年將有10萬家小商舖入駐，每家募集數十萬元。 所以本質上，籌集資金總額可達1,000至2,000億港元。我不確定能否在五年內、八年內實現這個目標。但我們終將抵達，終將實現這一目標。只要我們順利抵達了，就能繼續向前邁進。 

從融資的角度來看，它將與傳統市場一樣良好和強大，請拭目以待。 

但是，從未來的地域覆蓋來看，我們很可能會成為一個專營市場，到處都有合作夥伴，只要他們能夠在當地商舖創造需求，那麼我們就可以把他們加入澳門的清單(MCEX）。 

您在區內其他地方是否也收到了此類反饋？ 

李小加 – 是的。人們熱衷於尋找，也有人聯繫我們。這都離不開一個標準。我們向他們提供了一份協議。因此，將標準傳遞出去，並非強迫人們將資金集中於此。將協議傳遞出去並給予對方籌碼，我們在此打造一個大型框架，繼而複製籌碼，然後向其提供客戶。他們無需作出大量付出，就能加入這一行列，讓更多資金流向其他地方。所以這更像是一個專營金融市場，我們正成長為上市中心、數字披露中心和標準化中心。 

我們制定了《通用標準》。只要接受了該協議，就如同接受了互聯網標準一般。這有望成為新一代國家級數字專營市場。 

在結束訪問之前，讓我們先回顧一下這項壯舉背後的理由。考慮到您在金融市場頂層的專業知識和經驗，您在此有何使命？ 

李小加 – 這與普惠金融更相關，並將對小型企業帶來很大幫助，但這不是慈善事業，這必須是一項可持續發展的業務。那為什麼這會讓我感到興奮呢？這實際上是兩件事。首先，你開始意識到亞馬遜金融時刻的到來是因為數字化。在過去，在網路仍未誕生之前，大家只能到百貨公司購物，百貨公司的庫存決定了顧客購買的商品，百貨公司只能提供數萬種商品。 

然後亞馬遜來了，阿里巴巴來了，電子商務崛起了，現在我們能夠在數百萬件商品中選擇，商品也無需被放置到某一個地方。所以我們不需要去百貨公司，透過網絡便能購買。阿里巴巴和亞馬遜負責了送貨和現金流。 

今天的傳統金融就如同網路前時代，金融領域的改革，就如同電子商務一樣，能夠協助小型企業取得成功，因為他們從未參與其中。 

這就是我及其他金融人士鍾情於此的最終原因，因為我們最終讓金融與人們產生緊密的關係。 

文：馬天龍（於香港報道）  

攝影： Oswald Vas 

在掌舵鄰埠港府轄下投資機構投資推廣署四個月後，劉凱旋歡迎澳門投資機構進駐位於香港金融區中心的投資推廣署總部。她肩負帶領東方明珠疫後再次煥發奪目光彩的重任，使香港再次成為外國直接投資目的地和商業中樞。面對海外媒體的若干負面報道和評論，劉女士強調數據和多項措施表明香港迎來了新一輪投資和專業人士。她預計這一波浪潮將繼續升溫，重點領域涵蓋人工智能、生命健康科技、金融科技、先進製造與新能源科技。 她表示，澳門和大灣區也在她的工作議程中佔據重要位置，發揮香港特別行政區的跳板和橋樑作用。 

您於2023年11月就任投​​資推廣署署長。請與我們分享您的主要任務。 

劉凱旋 – 在加入投資推廣署之前，我曾在私營領域工作，主要擔任銀行家工作，也在金融科技領域工作了一段時間。我自年輕時就一直希望能夠為香港服務，香港是一個金融中心，且我已進入銀行業工作了20年。2023年第二季度，政府聯絡我，詢問我是否願意接受這一職位，為推廣香港略盡綿力。當時，我認為這是一個非常有趣的機會。因為對我來說，它融合了我真正想做的兩件事。首先，我真心想為香港做點事；此外，我認為香港本身就是一件商品，一件無需特意營銷的商品，但在疫情結束後，我們也許有必要刷新世界對香港的認識。當人們無法遠行時，事情就顯得困難，因此，當有人聯繫我時，我抓住了這個機會，亦非常感謝政府選擇我。 

您在關鍵時刻走馬上任。從2019年的社會動盪到新冠疫情衝擊，香港在過去五年經歷了許多挑戰。我猜，與10年前或15年前相比，現在推廣香港的任務變得更具挑戰性了。是這樣嗎？ 

劉凱旋 –實際上我認同您的觀點。在新冠疫情爆發之前，全球自由貿易在世界各地都已發展成熟，自從疫情肆虐以來，人們出行受限，世界範圍內的商業活動因此遭受重創。我相信，對於世界上大多數城市和地區來說，重振經濟都難如登天。社會動盪確實存在，儘管持續時間不長，我們仍為迅速恢復秩序感到幸興。疫情持續了三年，產生了更深遠的影響，正如我所提及，出行受限及某些地緣政治問題。 

例如，歐洲正爆發衝突。因此，從人們的言語之間，我們發現他們對於走出自己的國家開展業務感到猶豫。所以，無論是歐洲國家，還是世界其他國家，在他們真正落地香港之前，香港仍只是一個做生意的好地方。考慮到上述挑戰，他們必須重新審視優先事項，決定是否要到世界其他地方發展。香港作為目的地之一無疑具有挑戰性。但我也確實看到了許多積極的跡象。 

人們感受到的另一個挑戰是國際社會對香港未來的看法。近日，著名經濟學家Stephen Roach在英國《金融時報》撰文表示“香港的輝煌時代現在可能已結束”並引發爭議。 您對此有何看法？如何改變世界對特區前景的看法？ 

劉凱旋 –確實存在負面評論，就如您提到的社論。我要強調的是，大多數報道都沒有理論依據；相反，更偏向觀點性的文章。香港絕對是國際金融中心和金融樞紐。我們的證券市場市價總值仍位於世界前列，且不斷有公司上榜。就上市金融活動而言，香港僅次於倫敦和紐約。我們持續引入大量外國直接投資。投資推廣署去年協助引入382間內地及海外企業在港開設或推展業務，合共帶來616億元直接投資，並創造了4,100個就業機會。但最重要的是，因為香港作為一個利於開展業務且對商業活動友善的城市，有些企業自行研究後，或透過我們的推廣努力，決定直接進駐香港，因為只需一小時就能在香港成立公司，真的十分便捷。他們這裡能夠得到許多專業人士、全球會計師和律師事務所的協助。數據不言而喻：由於2023年的數據仍未準備好，所以以2022年為例，流入香港的直接投資總額達8,600億港元。  

另一方面，正如中央政府領導人多次重申，香港肯定仍然享有“一國兩制”政策的優待。香港是一個國際中心，沒有理由改變它。夏寶龍近日訪問香港，與許多駐港企業代表和外籍商人交流。他再次肯定地指出，沒有理由改變香港的“一國兩制”地位。事實上，香港成為最適合經商的國際城市之一，這將得到更多支持。 

從外國直接投資的來源來看，投資推廣署2023年協助的382間企業中，35%來自中國內地，12.5%來自英國，8.9%來自美國。外國直接投資來源多元化一直備受關注。能詳細說明嗎？ 

劉凱旋 – 去年，中國內地繼續佔據領航員地位，得益於香港是中國企業“走出去”的踏板。緊隨其後的是英國，佔48 家，美國34家和新加坡27家。這表明，儘管除中國內地以外的地區存在某些認知或地緣政治問題，但主要市場或主要企業仍然來自英國和美國。 我認為這或許是因為這些國家在香港的投資歷史較長。無需太多宣傳，就清楚香港確實是個做生意的好地方。因此，疫情結束後，他們就已著手恢復這些商業活動。現在人們關注的是第四名，即新加坡，這個國家本身就是一個金融中心。例如，有些來自新加坡的企業殷切地希望能夠透過香港進入中國市場，這是新加坡無法直接完成的任務。就您提到支持國家建設“一帶一路”的問題，從行政長官、主要官員到部門領導人都已先後多次出訪中東和東盟國家。我也將加入外訪的隊伍，致力進一步推動香港與各地之間的溝通和了解，將香港打造為真正的中國對外門戶，因為投資是雙向的且總是以貿易形式實現。我們在持續聚焦歐美的同時，也將加強在“一帶一路”沿線國家的存在感。 

您剛才提到了新加坡。最近，彭博資訊 (Bloomberg Intelligence)發表報告認為，新加坡在作為跨國企業區域總部方面獨領風騷。全球約有4,200間跨國企業設立了區域總部，其中1,336間位於香港。請與我們分享來自新加坡及區內其他國家和城市的競爭，以及香港迎頭趕上的方式。 

劉凱旋 – 新加坡和香港在多個方面存在驚人的相似點。我們都是普通法系地區，且都擁有非常成熟的金融服務業。儘管如此，我必須指出香港證券市場的規模仍然是新加坡的數倍，且香港是融資的首選目的地。就企業區域總部而言，這實際上取決於企業希望實現的目標，又或業務涉及的行業。我確實看過報告，他們引用的香港數據均來自我們的出版物。香港政府統計處是一個非常值得信賴的客觀機構，2023年的數字為1,336，疫情前水平約為1,450。我從那些關閉或退出的企業了解到，大多數企業是受到疫情影響而決定離開，他們沒有到其他地方。由於疫情帶來的不確定性，他們選擇關閉了位於不同城市的辦事處。 

我們目前的努力是為了實現今年的目標。已有數家企業於去年年底宣布將在香港設立區域總部或國際總部，多家進軍國際的大型中國企業也有計劃到香港設立離岸或海外總部。 

因此，您對到香港設立區域總部的跨國企業數量恢復到疫情前水平，甚至在短時間內超過，持樂觀態度，對嗎？ 

劉凱旋 – 我堅信如此。就算不是今年，也必將在明年年底實現。我們現在正加強推廣力度，重塑香港作為“最佳經商國家地區”的良好聲譽。 

從外國直接投資來源到投資概況、已完成項目類型，金融服務和金融科技處於領先地位，技術和創新項目也正迎頭趕上。您在這方面的目標是什麼？ 

劉凱旋 – 我認為這是港府的工作重點，而非目標。我們致力加強四個關鍵產業領域的工作：人工智能與數據科學、生命健康科技、金融科技、先進製造與新能源科技。這都是我們要切實重點推廣的領域。我們與香港科學園、數碼港、創新科技及工業局合作推出了一系列計劃和資助，成長速度之快令我們感到驕傲。得益於香港擁有強大研發支援環境，許多國際研發企業或與之相關機構都願意進駐香港。與香港毗鄰的深圳作為另一個龐大的人才儲備庫，許多研發產業已經進駐。所以連接就在此處。 

除了投資之外，人力資本也很關鍵。且人才競爭十分激烈… 

劉凱旋 – 投資推廣署在全球不同地區和國家設33個辦事處，我們的外展團隊負責投資推廣和引入人才。我們與去年成立的勞工及福利局香港人才服務辦公室密切合作。世界各地都存在人才和勞動力整體短缺的情況，疫情後年輕一代的工作選擇也發生了根本性變化。但我們很高興地看到，人才大軍正湧入香港。最近的報道令人感到欣慰，港府推出的吸引人才措施已吸引了逾四萬人來港。 

您最近推出了資本投資者入境計劃。背後的原理是什麼？ 

劉凱旋 – 計劃迎合有意移居香港的高淨值、超高淨值群體。這也是雙重的，對象不僅是個人，當中大多數是企業家，有自己的商業利益考慮，也對到香港擴大業務和家庭投資感興趣。我們為客人提供豐富多元的財富管理投資選擇。其中許多家族有意投資新創公司、科技企業，尤其是那些涉及智慧移動、智慧城市或綠色開發、綠色科技的項目。 

談到大灣區，定下了雄心勃勃的區域一體化目標。香港被譽為大灣區的超級聯絡人。 您如何看待香港、澳門和大灣區九市在這十年間的互動？ 下一步計劃是什麼？ 

劉凱旋 – 我們非常重視大灣區的共同發展。香港是海外企業進入中國的跳板，也是中國企業走出去的門戶。我們是帶動區域經濟協調成長的核心引擎之一。我們擁有作為國際金融航運和貿易中心的黃金地段，對內地企業實現走向世界目標具重要意義。除香港投資推廣署外，我們也與大灣區各市駐澳門辦事處、澳門及海外的相關團隊密切合作。因此，投資推廣署設立了一支專門的大灣區業務開發團隊。除了九個產業部門團隊外，我們於2021年設立了業務發展團隊，負責吸引國際企業經香港平台拓展至大灣區。 

投資推廣署與澳門進行了哪些協調與交流？ 

劉凱旋 – 我們與內地和澳門同行建立了泛大灣區外來投資聯絡小組，旨在加強在推廣和舉辦大型推廣活動方面的合作和協調。要知道，所有面對面活動在疫情期間都要暫停。我們也安排大灣區各市有關部門開會。儘管我至今才上任三個月，但是已與澳門貿易投資促進局行政管理委員會主席余雨生和廣東省商務廳廳長張勁松會面，探討今年如何進一步合作。因此，我們將合作推出一系列推廣活動，希望能夠向進入大灣區的海外企業展示三地的相對優勢及政府能夠為他們提供的支持。我希望與澳門企業和政府更密切合作，因為大灣區是一片廣闊的區域，世界其他地區對這一區域的公共資訊仍感陌生。 

您也在關注橫琴的發展嗎？ 

劉凱旋 – 是的。自港珠澳大橋通車以來，透過澳門的連接，橫琴離我們越來越近了。澳門已成為連接香港和進入大灣區的重要連結點。隨著往來的增加，聯繫將會越來越密切。 

深圳前海與香港僅一關之隔…… 

劉凱旋 – 是的。我們與前海的合作非常密切，前海也是一個特區。近日，香港政制及內地事務局率投資推廣署及各局代表赴前海簽署協議，致力加強雙方合作，包括為港澳企業及海外企業進駐前海實現了跳躍式發展，並以此為踏板前往大灣區其他地區。我們與余雨生先生討論到的部分內容包括必須與前海合作推動針對國際企業的新措施，因為歸根結底，澳門、香港和大灣區必須完成的其中一項關鍵事情是引入更多海外企業，尤其是金融服務、法律服務、專業服務和IT領域。 

有人擔心，大灣區一體化可能最終將不過是一場零和遊戲，而不是雙贏。您如何看待這種質疑？ 

劉凱旋 – 嗯，我一點也不懷疑。它(大灣區一體化進程)是一個雙贏的局面，因為香港除了扮演跳板角色外，還是一座橋樑。一直以來，香港都是中國內地與世界各地貿易流通和投資流通的橋樑。資金進入香港，企業在香港設立，為香港創造經濟利益，因為香港擁有一定的土地空間。我們是科研、教育和金融的卓越中心。企業進駐香港後，也會產生製造的需求，他們需要大量的土地和支持，這些任務都是跨境完成的。例如，由於香港已建立了有強而有力的智慧財產權保護體制，資訊和人才亦能在此自由流動，許多企業選擇到香港進行研發。然後他們必須進行開發和建設。那將是大灣區完成的任務，因為那片遼闊的土地能夠為製造業提供土地、支援、技術和人才。這就是我們緊密合作的方式。它不會轉移投資，而是流經香港。有的留在這裡，有的則進一步穿越至中國內地其他地區。 

澳門被視作與葡語國家建立關係的平台。您認為香港在這些市場的投資流入和流出方面是否有機會，例如葡萄牙和巴西？ 

劉凱旋 – 您提到的這兩個國家都擁有許多非常有能力的新創公司。他們在世界各地尋找資金和機會，且將香港視作首選。投資推廣署不僅直接與公司合作，我們還與駐香港總領事建立了非常密切的工作關係。我們設有專門的團隊照顧商會，也與歐盟駐香港和澳門辦事處密切合作。關於綠色環保議程，考慮到香港和大灣區湧現的專案機會，許多歐洲企業也希望拓展至香港和大灣區，我們正朝著這一方面加倍努力。 

Connecting global capital with small businesses in mainland China through Macau. Micro Connect founder and chairman Charles Li, former HKEX chief, delves into the rationale, outcomes, and ambitious plans of innovative financial market MCEX in an exclusive interview with Macau Business and MBtv.

Read full interview here.

EXCLUSIVE INTERVIEW

By José Carlos Matias

Photos by Wong Sio Kuan

Connecting global capital with small businesses in mainland China through Macau. Micro Connect boss Charles Li, former HKEX chief, delves into the rationale, outcomes, and ambitious plans of innovative financial market MCEX

One year after the official launch of the Micro Connect Macao Financial Assets Exchange (MCEX), Charles Li, former Chief Executive of the Hong Kong Exchanges and Clearing, shares his vision and aspirations in an exclusive interview with Macau Business, Business Intelligence, Macau News Agency, and MBTV.

Sitting on the verge of what he describes as the ‘Amazon moment’ for financial services, Charles Li, founder and chairman of MCEX, explains the workings of the digital age-driven and enabled financial instruments at the heart of MCEX. As a Macau-licensed market, MCEX allows professional investors to acquire a fraction of a business’s revenue for a fixed period, securing rights to future income. Li anticipates that, in terms of capital raised, MCEX could rival the Hong Kong stock market in a few years’ time, paving the way for a new generation of digital franchised national markets to be adopted globally.

One year ago, we witnessed the official launch of the Micro Connect Macao Financial Assets Exchange (MCEX). Could you tell us about the journey over the past year?

Charles Li: Initially, we were the principal investors, but now we have seen a significant increase in participation. To date, we have invested in over 15,000 stores across 200 cities in mainland China, deploying RMB 4.2 billion altogether already. What we refer to as the “Macau style IPO” is now occurring daily. It’s been going really well.

Q: Why Macau? You could have selected Hong Kong or other mature capital markets. Tell us about the backstory regarding being based in Macau.

C. L.- Our mission is to connect global capital to small and micro businesses in China as a starting point. Therefore, while the capital funding side operates outside [mainland] China, the asset side operates within [mainland] China. The market operator that issues these underlying certificates needed to be international. Consequently, we were not going to do it in mainland China.

Between Hong Kong, Singapore, Macau, and other possibilities, we had discussions with quite a few jurisdictions. People need to understand how this product works because the underlying product is daily revenue contracts in China. However, when it becomes international products, they become Daily Revenue Obligations (DROs).

But most regulators ask the question: Is that a security? Or is that futures, or is there any other traditional financial product? It is none of those. It is a completely innovative digital age-driven and enabled financial instrument.

So, while the conversation continued with all the other jurisdictions, it all boiled down to which boxes to put you in. When we had the conversation with the Macau authorities, they instantly recognised that this is something they are very familiar with because they have been doing this for decades. When a casino opens, as long as there’s revenue every day, the government goes in there and literally takes the daily revenue tax directly from the casino.

The government is able to do that by issuing a casino licence to the operator, which entitles the government to collect taxes on a daily revenue basis.

We, in a very similar manner, provide capital to a small shop, which entitles investors to a daily revenue contract entitlement. So, it’s that similarity that gave Macau authorities an instantaneous understanding of what we are really talking about, and particularly how risk can be easily managed because of this daily feature of this new financial innovation.

How was the exchange with Macau’s authorities, and what do you make of their approach?

C. L.- I was quite impressed with the local authorities in two aspects. One, strategically, a long-term macro view and a clear vision that Macau needs to transform into something very different and needs to really move into the digital age.

And they need to modernize many of its societal needs, particularly given its traditional industry focus. Financial services will naturally fit in that direction. So there is this tremendous strategic focus and vision for the future, and that translates into a really strong mindset of being open, being innovative, and being receptive, and that is coming through loud and clear. Secondly, at the technical regulatory level, we were also immensely impressed with a mindset that we never had a real, you know, big traditional ecosystem for traditional finance, but that most people take that as a reason not to be able to do anything because we never had the ecosystem.

Everybody’s already way ahead of us, but the mindset instead is, ‘Well, let’s turn the absence of an ecosystem into an advantage.’ The fact that you have a plain white piece of paper means that you can actually draw your future with greater freedom and flexibility. And that sort of mindset allows regulators to embrace new digital revolutions and understand the potentials and implications that the digital age brings without being constrained and burdened by a lot of the old ways of thinking and doing it.

Your main office is here in Hong Kong and you have an important presence across the border in Shanghai, Beijing, Chengdu. Tell us about your physical presence in Macau in terms of your operation. Some people may ask: What will Macau benefit in terms of GDP, employment and so on? 

C. L.– In this new way of investing, the asset side is in China. In the future, it could be global. The funding side currently outside China. It’s global, international, but one day there could also be funding from China as well. The exchange-licenced venue is in Macau.

People sometimes ask me how Macau fits into all of this. I would usually describe it this way: big finance is usually in the banks and the big insurance companies. They are not going to change that. They’re not going to go into this new way of investing, on daily revenue. They basically focus on either fixed income bonds, debt, loans, or equity; that’s all. Let’s imagine big money is saying, “I only eat bread,” which is fixed income, or “I eat noodles only,” or “I buy noodles only,” which is equity.

Both bread and noodles are like securities, traditional financial products. But what we are doing in China, at least now, are really contractual commercial contracts that are inconsistent with securities. So, we call it the daily revenue contract in China. That’s almost like growing wheat; we’re actually growing the crops there. But the big money is saying, “I don’t understand what a crop is. What is wheat? I only understand bread or noodles.” So they’re not going to want to look at it. So, we have to find a way to bring  domestic wheat or contracts. First of all, give them an international identity paper. That’s why the daily revenue obligations came into being. A daily revenue obligation (DRO) is a piece of paper issued by an international market operator, the Macau Exchange. And that DRO is stapled together with the DRC (Daily Revenue Contract). Whoever buys the DRO in the international market receives all the benefits of that DRC. So the DRO is almost like in Macau we need to dry the wheat into flour. That’s why we give them an international paper, put them into an investible format. A DRO International certificate is flour, but still, big money in Hong Kong or Singapore, or the US and London would say, “I don’t understand what is flour, I only understand bread and noodles”. So, we need to package all the DROs, which are individual contracts, into DRPs, – Daily Revenue Portfolios.

And then you give the banks the senior tranche of it that’s more like bread now; that looks like a security; that looks like a bond.

Macau is now a very important part of the future supply chain or manufacturing chain of this new form of financial product.

And in Micro Connect, we bring the wheat into Macau and put it into flour, and then that flour turns into bread and noodles. So, in the future, Macau will be forever irreversibly in the food chain of this new [financial] innovation because Macau becomes the central flour grinding mill for all the future financial products for the little guys in China.

How is that reflected in terms of tax income for the Macau SAR and highly skilled and innovative jobs for locals in Macau, or to attract foreign imported talent also into Macau as part of this operation?

C. L. – Now that there is an extraordinarily important segment of this production line that is centred into the conversion of the wheat into flour,And the most important part of all of that is individual contractual, daily data disclosure, and publication. So there will be a tremendous amount of investor interest in the underlying composition of the flour. They will be, you know, reading agencies, analytical companies, and data companies. All of them need to really go around the underlying assets because, ultimately, the investor needs a full range of services for that.

This is also going to be different from the Hong Kong, Singapore, New York, or London exchange markets, where traditional finance requires everybody to bring money to you, all the regulatory entities to you, all the people to you, and all the regulations. Therefore, there are only a handful of financial centres in the world today. And once money gets into one place, it doesn’t really go away. It doesn’t change.

But MCEX is going to be the world’s first daily revenue contract market. It is digital, which means that we can become a global exchange, but it’s all digitally connected. So we become the new generation of concentration of capital, not necessarily physical capital, but really all the data behind the capital, and where the price allocation, the price setting, and all the valuation determinators of those underlying assets. So I think people need to think not through how many people we are going to have in Macau, and how many bank branches will open. We should be thinking that we become the nerve center, the data center, the real information, and gathering that will require a lot of traditional intellectual people and capital. But we are not going to be the heart of global finance because the heart is where the money actually flows. We are going to be sort of the global nerve where the money is coming from, where the money is supposed to go, and how that money is calculated, how that money is evaluated, and how transfer prices are determined. That’s a much better place to be.

For a small shop to be part of this, what are the requirements in terms of data sharing and transparency?

C. L. – We need to go through what we call “connect partners” because we are not able to really find a way to learn about the revenue of an individual small shop on the street.

So we need to go through an existing network that has already been put into place by a ‘connect partner’. The typical examples are chains or brands that already have a few hundred shops. They are connected already. They have a system. The parent of that chain is already collecting money. You already know that they have already finished all the cat-and-mouse games of catching the cheaters and all of that. Only then will you put your collector on their own existing system, because we are not going to be able to go back and replicate a new national system. It’s really tapping into existing connect partners. And typically, it’s all digital.

Based on our experience with commercial real estate property operators, we started realising they are also a great connector partner because the shops have direct control of them today. If the landlord becomes your partner, what you can do is to say, put your lease listed in Macau as daily revenue contracts. In exchange, you need to put digital control over the shops inside your mall, in which case you can actually have your lease financed.

 You can also start to finance other CapEx of the shops within your mall as long as you keep an eye on the shops because, in many other countries, you still have a lot of physical cash.

And they have a cash box there. You need to ensure that the investor is aware of the amount of cash in that box on a daily basis. So even though we may not be able to get our hands on the cash every day, we know how much is in there. You can do a weekly or biweekly settlement that can be done by having a landlord be a local partner.

And within that model, the landlord’s interest is completely aligned with those of the investors, because if the landlord fails in its job, investors know that shops in that mall are uninvestible. You are out.

So for them to want to have continued access to financing in their mall, they really want to make sure that they help investors build this sort of digital plus enhanced physical cash collectability. And that can be done with the landlord. And if successful, you can do it in markets like Southeast Asia or even Macau or Hong Kong, where there’s still a lot of physical cash.

This brings me to the Market Accepted Protocol, introduced earlier this year. Could you unpack this tool and share with us the market’s feedback?

 C. L.- Investors will need to buy thousands and thousands of little cash flows. There needs to be a way for everything to be standardised. Say, for instance, I’m selling you watermelon, I’m selling you corn, I’m selling you potato, whatever I’m selling you, there needs to be a centralised and standardised way to say, five apples and one watermelon, and maybe a few corn equals… So essentially you have to create a standard of currency. Therefore, every contract, no matter what you do—your noodle shop, your hair salon, your auto mechanics—is  so standardised that we have certain parameters. So, you are almost creating a currency that everybody’s using.

Tell us about these 15,000 shops. Who are they, and where are they located in the mainland?

They are everywhere. The 15,000 of them are all over China in 200 cities. Sichuan has the biggest number of shops. The average size of the investment per shop is 300,000 yuan. The shops belong to four industries: retail, food and beverage, services, and culture and sports activities. For instance, within food and beverage, we have casual food, fast food, foreign cuisine, dessert, and bakery, you know, catering, and so on. If you look at services, then you have, I see which service you want, beauty service, residential service, and medical service, travel service, well service, residential service, automobile services. If you look at some of the cities, from tier one to tier five, the biggest increase in tier four and five cities was during the Chinese New Year’s holidays. Everybody went home and spent money home.

This market is for institutional and professional investors. How about individual investors? Would they be able to participate somewhere down the road?

C. L.- Probably not in the foreseeable future. Because remember, one day, if the noodles can be purchased by Hong Kong-listed companies, then individual retail investors can buy their stocks. But they are coming over here because we don’t believe that individual retail investors understand how each store works. And also, that’s a single exposure to a store. The reason this thing works is because banks and other big money institutions want it. It is because there are so many of them that the diversification is such that people actually feel that the quality of return is much higher. So, I think in the short term, we probably don’t want to have retail investors yet. And also, not raising funding from China and investors inside mainland China.

Would you anticipate raising money in the mainland in the longer-term future?

C. L.- In the future, yes. But that would require the Chinese regulator to become comfortable after all the aftermath of the internet financing peer-to-peer (P2P) financing, all this financial innovation, which is really about aggregating money away from retail investors and then telling them a story, and eventually everything becoming a Ponzi game. China needs a lot of time to absorb the painfulness of that failure.

We are a great innovation. We believe we are fundamentally different from any one of those, but we want to give the regulators the time and space to sort that out first until they have a much better understanding of what we do, until we are much more established, so that they have greater confidence that this is different.

With regards to the actual shape of China’s economy, there have been mixed signals and some level of scepticism concerning the robustness of the country’s post-pandemic recovery. Some investment funds and consulting firms have expressed doubts over the future development of the whole economy and domestic demand. What’s your take on all of this?

C. L.- Clearly, the economy is going through cyclical and structural changes, and that brings pain. But from an investor’s perspective, the reason you have all that scepticism or pessimism is not about the real economy itself. It is really about how they are evaluating the situation. It is about how traditional finance is looking at issues because they’re looking at issues because the traditional way of investing is to invest in companies and then invest in their equity. And whether the equity you’re going to make money with or not is a function of not only how the company is doing your profit, but it’s really the multiple. The valuation is the multiple. And when you have a valuation multiple, it’s essentially about what they collectively are feeling. Is the economy good? Then maybe this company is worth 15, 20, 30 times price-to-earnings (P/E) ratio. But if nobody likes it, if everybody thinks the economy is weak, the company would be eight times P/E then the price is going to go down. You lost something, but the underlying company you bought, the profit may not necessarily have changed or not changed as much. The multiple change is the one that creates the perception in the investor’s mind that you’re losing money or you’re making money.

But for us, you’re investing not in the perceived future of a big company, of any company, or of any shop. We are only looking at this particular shop in this particular location. Is the revenue going to be enough for me to collect my money back? It’s a very different way of looking at the universe. Let’s say a noodle shop, a shark fin expensive noodle shop. Quite expensive, but not super expensive. If today’s economy and consumption are coming down, you are in this moderate-to-expensive noodle shop business, you’re going to lose some customers because they cannot afford what you are selling. They will be going to cheaper noodle shops. But don’t forget that the guy who was eating the really expensive noodles before can’t afford that either, it coming down to you. So actually, you don’t feel it. The only person feeling it is the shark fin noodle shop guys. That’s why today, if you are in the most expensive part of the economy, if you’re banking on people always travelling and spending big money, it’s getting tough. But if you’re just like 90% of everybody else, your business remains pretty much the same.

Will MCEX join the Champions League of financial markets? When could that happen? What’s the prospect?

C. L.-The prospect? Well, let’s just compare ourselves against the Hong Kong exchange first. 
First of all, people remember Hong Kong largely because of the secondary market trading of the equities. For our business, we are more of an investment market than a secondary trading market. So from a trading perspective, we are apples and oranges, but from a raising capital perspective, we are apples and apples.

Hong Kong exchange every year has about 100 to 200 new listings, raising capital, each raising, on average, let’s say, one billion Hong Kong dollars. So together, we are talking about HKD 200 billion.

In five years, if everything goes as planned, MCEX could have 100,000 small shops coming every year, each raising a couple hundred thousand yuan. So essentially, it’s similar to HKD 100–200 billion in capital raised. Whether we achieve that in five years, in eight years, I don’t know. But we will be there and we will be there. Once we are there, it is going to continue and continue.

From a capital raising perspective, it is going to be just as good and strong as a traditional market, giving us time.

But in terms of geographical coverage into the future, we are likely going to become a franchised market, to have partners everywhere, as long as they are able to generate local needs into local stores, then we can bring them to a list in Macau (MCEX).

Have you had this kind of feedback elsewhere in the region?

C. L.- Oh yes. People are looking with great interest, and people are coming to us. Because this is all about a standard. We give them a protocol. So instead of forcing everybody’s money to come here, you are exporting the standards. You’re exporting a protocol; you’re giving them a chip. We create a mainframe here, but then you replicate the chips, and they give it to them. They do a little thing, but it’s listed here so that more money can go there and their own money can go to other places. So it’s more like a franchised financial market where we are becoming the centre for listing, digital disclosure centre, and standardisation centre.

We have the MAP – Market Accepted Protocol. If you accept that protocol, it’s like an internet standard. This will hopefully become a digital franchised new generation of national markets.

Before we conclude our talk, let’s go back to the rationale behind this undertaking. Considering all your expertise and experience at the top echelons of financial markets, what’s your mission here?

C. L.- This is about more inclusive financing. This helps the little guys a lot, but it’s not charity. This has to be a sustainable business. So why does this give me the kick? It’s really two things. One, you start realising the Amazon moment of finance is here because of digitalisation. Because in the past, before the internet, everyone would go to the department store to shop. And the department store would decide how much inventory they put in there, and then you could only buy whatever’s there. So only tens of thousands of merchandise in the department stores.

And then Amazon came, Alibaba came, e-commerce came. Now we can buy millions of merchandise. They don’t need to be put into a department. So we don’t need to go to the department store. We are able to buy it online. Alibaba and Amazon sorted out the delivery and the cash.

Today’s traditional finance is like the pre-internet era. This change, like e-commerce, helps little guys big time because they were never part of this.

That is ultimately why finance people like me enjoy this, because we finally make finance relevant to people.

《商訊》2024年4月 | 總監之言 – 馬天龍

我們之前多次探討的議題現已成為了本地許多小型企業迫切關注的問題。經濟復甦過程中鮮明的不均衡現象日益深化，北區等社區的商舖陷入進退維谷的境地，城中熱門景點附近的商家則蓬勃發展。

剛結束的復活節假期進一步凸顯了這一分化，大批居民前往內地，享受物超所值的購物和餐飲。觀察人士和商家強調，“澳車北上”計劃在此現象中扮演重要角色。鄰埠香港亦未能倖免地遭到類似的困擾。來自澳門北區工商聯會和澳門餐飲行業協會的代表憂心本地小型企業因此遭受沉重打擊，並表示部分地區出現了較疫情期間更為嚴重的倒閉潮。不難理解業界現時面對的窘況，這正是租金成本上漲和客戶減少雙重作用之下的惡果，尤其是週末和假期尤為突出。但誰能責怪那些選擇北上的居民呢？如何能幫助本地社區小型商鋪擺脫困境？第一個問題的答案不言而喻，但後一個問題還需以更巧妙的方式處理。 

對特區居民和企業來說，“澳車北上”計劃是一把雙面刃，原本可以逐步推出，但木已成舟，現已是不可逆轉的事實了。政府似乎意識到了這一點，隨即推出了多項刺激社區消費和提升社區商圈吸引力的舉措，包括與博彩營運商合作推行舊區活化項目，致力將旅客從綜合度假村和主要旅遊區引流至不同社區。然而，這些舉措都無法立竿見影，一蹴而就，往往需要付出時間方能顯現成效。對於那些苟延殘喘的小商鋪來說，那將為時已晚。 

在純粹由供需主導的自由市場經濟中，商舖只能適應市場，不然就滅亡，他們必需自行進行調整和創新。誠然，市場規則佔上風，這些企業必須採取更多創新策略。許多小型企業或需付出比疫情期間更大的力氣，才能成功渡過此次難關。我們都清楚事情並非如此簡單。身處面積狹小的澳門，一定程度的支持和保護是必要的。 

賀一誠本月稍後時間將列席立法會全體會議。這些問題肯定成為議員和社區代表的焦點。社會希望行政長官不要淡化這些擔憂，並為那些處於洶湧波濤中疲倦掙扎的人們提供更多依仗，包括必要時的救生衣。溺水前的窒息感是擺脫泥潭的良方。 

By José Carlos Matias in Hong Kong

Photos by Oswald Vas

The new Director-General of InvestHK is confident in Hong Kong’s ability to remain a prime destination for FDI and talent, highlighting a post-pandemic rebound. In an exclusive interview with Macau Business, Alpha Lau casts aside worries over the SAR’s future and points to the GBA as a win-win process. She also wants to deepen ties with Macau.

Four months after assuming office as Director-General of InvestHK, the neighbouring SAR’s government investment agency, Alpha Lau welcomed Macau Business into the department’s headquarters, in the heart of Hong Kong’s financial district. Her mission is to spearhead the city’s post-pandemic re-emergence as a prime FDI destination and bustling hub. Despite some less-than-hopeful overseas reports and comments, Ms. Lau underlines data and measures indicating a fresh wave of investment and professionals flocking to Hong Kong, something she anticipates will speed up quickly. The key areas are: artificial intelligence, life sciences, FinTech, advanced manufacturing, and green new energy. Macau and the Greater Bay Area also rank high on her agenda, living up to the SAR’s reputation as a springboard and bridge.

You took office as Director-General of InvestHK in November 2023. Tell us about your main mission.

Alpha Lau – Prior to joining InvestHK, I’ve been in the private sector, mainly as a banker and also in FinTech for a while. So I’ve always actually wanted to serve Hong Kong, even in my youth. Hong Kong being a financial centre, I went into banking and spent 20 years in it. I was approached by the Government in the second quarter of 2023 to talk about whether I might want to join this position to help promote Hong Kong. And I thought at that time was a very interesting opportunity because for me, it merges the two things that I really wanted to do. One is really wanted to do something for my hometown. And the other thing is that Hong Kong, I believe in itself is a product that doesn’t really need selling, but perhaps we just need to refresh the world’s knowledge of Hong Kong after the pandemic. It was not as easy when people can’t travel. So I just jumped at the opportunity when I was approached, and I was very grateful that they chose me to join this position.

You take on this role at a key juncture. Hong Kong underwent a number of challenges over the past five years, from the 2019 social unrest to the impact of COVID-19. I guess selling Hong Kong these days might be a bit more challenging than let’s say 10 years ago or 15 years ago. Is that the case?

A. L. – I do agree with you in effect, because in the past, prior to Covid, prior to the pandemic, global free trade was already a very established thing around the world. Now, since the pandemic, because of the lack of traveling, there was a dramatic effect on the business activities around the world. I believe it’s actually been quite difficult for most cities and more locations around the world to rekindle the business that’s been happening before the pandemic. So the social unrest was there, it was short, but we were happy to say that order was restored very quickly. The pandemic had a far higher-reaching consequence because of the timeframe that it took up with three years. And the lack of travel, as I mentioned, as well as certain geopolitical difficulties.

In Europe, for example, there are several conflicts going on. So when we talk to people, there’s been a lot of hesitation about going outside of your own country to do business. So, whether they say European countries or other countries around the world, before they would just come to Hong Kong, it’s just a great place to do business. But given these challenges that I mentioned, they have to, you know, re-examine their priorities, whether to expand anywhere in the world. And Hong Kong being one of the locations is certainly challenging. But I do see a lot of positive signs ahead.

Another challenge that one can perceive regards international perception concerning the future of Hong Kong. Recently, well-known economist Stephen Roach authored an Op-Ed in the Financial Times titled “It pains to say Hong Kong is over,” a piece that generated controversy. What’s your take on this and how can perceptions be changed regarding the SAR’s future?

A. L. – Yes, there have been some comments like you mentioned in editorials. I would stress that most of them, I do not find a lot of data backing up; rather, it’s more like opinion pieces. Hong Kong is definitely an international financial centre and financial hub. Our stock market’s total capitalisation size is still one of the greatest in the world. Companies keep coming to list. We are really only just after London and New York in terms of financial activity in terms of listings. We continue to attract a lot of foreign direct investment. InvestHK ourselves for clients that we actually handhold, we brought into Hong Kong a total of 382 FDI projects last year, which brought in HKD 61.6 billion of direct investments and created 41,000 jobs. But on top of that, because Hong Kong is such an easy place and a good place to do business, there are businesses who, through their own studies or through our promotion efforts, decided just to come into Hong Kong directly, because it just takes one hour to set up a company in Hong Kong. It’s very, very easy. And there are so many professionals here, global accountants and law firms to help them out. When we look at data, the total direct investment into Hong Kong in 2022, for example, we’re still waiting for the 2023 data, was HKD 860 billion. So the numbers speak for themselves.

And the other thing is Hong Kong definitely still enjoys the One Country Two Systems policy, as our central government leaders have said time again. Hong Kong is an international centre and there’s no reason to change it whatsoever. In his recent visit to Hong Kong Xia Baolong [director of the Hong Kong and Macau Affairs Office] talked to a lot of business representatives and expatriate businesspeople based here. He reiterated that there’s absolutely no reason at all to change Hong Kong status of One Country Two Systems In fact, there will be more support for Hong Kong being one of the best international cities to do business.

When we look at the source of FDI, out of the 382 completed projects in 2023 handled by InvestHK, 35 percent were originally from mainland China, with 12.5 percent from the United Kingdom and 8.9 percent from the United States. There has been a focus on diversifying the sources of FDI. Could you elaborate on it?

A. L. – Last year, mainland China still led the way because of the proximity for Hong Kong is a jumping board for Chinese companies going outside. Number two is followed closely with the United Kingdom with 48, the US 34 and Singapore 27. This actually showcases that despite some perception or geopolitical situations other than mainland China, the main market or the main source of companies coming in are still from the UK and the US. I think that probably stems from a longer history of them investing into Hong Kong. They know already without too much promotion that Hong Kong is indeed a good place to do business. And so they are now resuming all these activities after the pandemic. Now of interest is number four, which is Singapore, in itself a financial hub. There are companies from there who really, truly want to use Hong Kong as a springboard to go into China, for example. And you can’t do that directly from Singapore. But to answer your question about promotion efforts to support the country’s Belt and Road Initiative, our Chief Executive as well as our main officials, bureau chiefs, have visited the Middle East several times, and the ASEAN countries and I shall also be doing so to further improve the communication and the understanding between our locations and to really promote Hong Kong as a gateway of going into and outside of China, because investments are actually two ways, always trade. And investments are always both ways. While we will continue to focus our efforts in Europe and US, we will increase our efforts in the Belt and Road countries.

You just mentioned Singapore. A recent report by Bloomberg Intelligence argues that Singapore is stealing the limelight with regards to hosting regional headquarters of multinational firms. They mentioned 4,200 multinational firms with regional headquarters, with 1,336 found in Hong Kong. Tell us about competition coming from Singapore and elsewhere in the region and the way forward to catch up.

A. L. – Singapore and Hong Kong are very similar in several aspects. We are both common law locations. And we both have a very mature financial services sector. Although, I must say that the Hong Kong stock market is still several times their size, and it’s a destination of choice for fundraising. Now, with regards to regional headquarters, it really depends on what a company is trying to achieve or what kind of industries they’re in. I did look at the report. The data that they quoted for Hong Kong is from our own publication. We, the Census Department, which is a very trusted objective agency. Our figure in 2023 was 1,336, compared with pre-pandemic level of about 1,450. When I talk to some of these companies who have closed or exited, most of them are telling me it was because of the pandemic. They haven’t gone anywhere else. They have closed their international offices in a lot of locations because of the uncertainties brought about by the time the pandemic.

What we are doing is for this year already, and the end of last year, several companies have announced that they’re going to set up either the regional or international headquarters in Hong Kong. A few very big Chinese companies going out of China are setting up their offshore or overseas head office in Hong Kong.

So you are positive about the number of multinationals with their regional headquarters in Hong Kong getting back to pre-pandemic levels or even surpassing it soon, right?

A. L. – I strongly believe so. If not this year, then certainly at the end of next year. We are also now doubling our promotion efforts when in the past business just come to Hong Kong business, a good place to do business.

Moving from FDI sources to the profile of investments and the kind of completed projects, financial services and FinTech lead the way, but technology and innovation projects are catching up. What are your targets in this respect?

A. L. – Rather than targets, there is a focus by the Hong Kong government in four key areas of industries that we want to increase our work in: artificial intelligence, life sciences, FinTech, advanced manufacturing, and green new energy. So these are areas where we want to really focus on promotion efforts, and there are various schemes and subsidies in collaboration with the Science Park of Hong Kong, Cyberport, and also with the Innovation and Technology Bureau to double our efforts in these areas. And we’re happy to say that the growth is very quick. A lot of international research firms or companies in these areas would like to come to Hong Kong because of the strong research and development (R&D) support environment around here. And just across the border in Shenzhen is another huge talent pool with a lot of R&D industries already set up there. So the connectivity is there.

In addition to investment, human capital is pivotal. And competition for talent is fierce…

A. L. – InvestHK has 33 offices around the world, and our outreach teams are in charge of investment promotion as well as talent attraction. We work very closely with the Hong Kong Talent Engage team of the Labour Department that was formed last year. I understand that everywhere in the world, there’s a shortage of talents and labour as a whole also because of fundamental changes in the younger generation’s work choices after the pandemic. But we are happy to say that talents are coming to Hong Kong. I have been quite happy to see in recent reports that, for example, the talent attraction schemes that we have put together attracted already over 40,000 people into Hong Kong.

You have recently launched the Capital Investment Entrant Scheme. What is the rationale behind it?

A. L. – It caters to higher net worth, ultra-high net worth groups who might be interested in Hong Kong. And it’s also twofold, not only for them personally, but because these are frequently business owners who themselves have their business interests and will also be interested in Hong Kong for expanding their business as well as family investments. We have a very wide choice of investment for wealth management in Hong Kong. A lot of these families are interested in investing in start-ups, technology companies, particularly if they’re involved in say smart mobility, smart city or in green developments, green tech.

Talking about the Greater Bay Area, there are ambitious targets for regional integration. Hong Kong has been portrayed as GBA’s Super Connector. How do you foresee the interplay between Hong Kong, Macau, and the nine GBA cities in Guangdong throughout this decade? What’s next?

A. L. – We place a lot of importance on the growth of the Greater Bay working together. Hong Kong is a springboard for overseas businesses going into China, as well as Chinese businesses going outside. We are one of the core engines to drive coordinated regional economic growth. We have a prime location as an international financial shipping and trading centre. So it’s very important for mainland businesses to go global. Other than Invest Hong Kong, we work very closely with the GBA offices in Macau, relevant teams in Macau, and abroad. So within Invest Hong Kong, we have a dedicated GBA business development team. Other than the nine industry sector teams, we have a business development team since 2021 responsible for attracting international companies to expand into GBA via Hong Kong.

What kind of coordination and exchanges has InvestHK been carrying out with Macau?

A. L. – We have a Pan-GBA investment liaison group with the mainland and Macau counterparts to strengthen collaboration and synergy concerning how to promote and run large-scale promotional events which had paused during the pandemic for face-to-face events. And we also line up the Commerce Bureau of the GBA cities to conduct a meeting. So, although I’ve only joined my position for three months now, we already had a, we call a leadership kick-off meeting this year with Mr. Vincent U, the Macao Trade and Investment Promotion Institute president, as well as Mr. Zhang Jinsong, director of the Guangdong Department of Commerce. And then the three of us sat down with our teams to discuss how to take cooperation further this year. So there’ll be a series of promotion activities and we also want to kind of be able to showcase to overseas businesses coming into the Greater Bay Area of where our relative strengths are and how we could help them. I want to work even closer with Macau with businesses and government because the GBA is about the whole area. There has been a shortage of public information about this area to the rest of the world.

Are you also keeping an eye on Hengqin’s development?

A. L. – Yes. Hengqin has become far closer to us, through Macau since the opening of the Hong Kong Zhuhai Macau Bridge. Macau has become a very important connection for Hong Kong and into the Greater Bay Area because the connection will be increasing more and more, with more border crossings.

And just across the border here is Shenzhen’s Qianhai area…

A. L. – Yes. We work very closely with Qianhai, which is also a special zone. Recently the Constitutional and Mainland Affairs Bureau of Hong Kong led a delegation including InvestHK and various bureaus to go to Qianhai and sign an agreement to work closer together and serve companies, including Hong Kong and Macau firms and overseas companies to go into Qianhai as a jumping board to the rest of the Greater Bay Area. Some of the things that we’ve discussed with Mr. Vincent U is that together with Qianhai we have to promote new measures to international enterprises because in the end, one of the key things Macau, Hong Kong, and GBA have to do is to attract more overseas companies coming into this area, particularly in the fields of financial services, legal services, professional services, and IT.

There are some voices who are concerned that the overall GBA integration process may end up being a zero-sum game instead of win-win. How do you address this kind of scepticism?

A. L. – Well, I’m not sceptical at all. It is a win-win situation because Hong Kong in addition to being a springboard we are a bridge. Hong Kong has always been a trade flow and investment flow bridge between mainland China and the rest of the world. The investments come into Hong Kong, companies setting up here and bringing about economic benefits to Hong Kong. Because Hong Kong has a certain landmass. We are a centre of excellence for research, education, and finance. When companies come in through Hong Kong, they also need some of the manufacture and they need a lot of land and support for that, and that will be across the border. For example, a lot of them will do research and development in Hong Kong because of the strong Intellectual Property protection laws and free flow of information and talents. And then they have to do development and building. And that will be in the Greater Bay Area because there is land, support, technology, and talents in terms of manufacturing. That’s how we work closely together. It doesn’t divert investment but instead flows through Hong Kong. Some of it stays here, some of goes further through the rest of Mainland China.

Macau has been portrayed as a platform for relations with Portuguese-speaking countries. Do you see opportunities for Hong Kong concerning those markets when it comes to investment inflows and outflows, for instance, when it comes to Portugal and Brazil?

A. L. – There are a lot of very capable start-up companies in the two countries you mentioned. And they are also not only looking for funding and opportunities around the world but also, firstly, in Hong Kong because Invest Hong Kong not only works directly with companies, we also have a very close working relationship with the consuls general in Hong Kong. We have a special team looking after Chambers of Commerce. We also work very closely with the European Union Office in Hong Kong and Macau. Regarding the agenda of going green, there are a lot of European companies who want to also come into Hong Kong and the region, bearing in mind there are a lot of project opportunities in Hong Kong and the Greater Bay Area. We are doubling our efforts in this respect.

Macau Business Editorial |April 2024 |  By José Carlos Matias – Director

An uneven recovery pattern has emerged in Macau with ever-widening disparity among the fates of many local small businesses. It’s something this publication has already addressed, and it is now a pressing concern. Shops in residential areas such as the Northern district are struggling, while those in the city’s tourist spots thrive.

The Easter holidays only heightened the trend’s stark contrasts, with hordes of residents eschewing local options and crossing the border to enjoy the mainland’s wide range of shopping and dining options with better value for money. Shop owners and analysts alike point to the Northbound Travel for Macau Vehicles scheme as a significant contributor to this phenomenon, and a similar pattern has been observed in neighbouring Hong Kong.

Representatives from the Industry and Commerce Association of the Macau Northern District and the Macau Catering Industry Association have expressed serious concerns over the impact this trend is having on local small enterprise, citing a wave of business closures with numbers exceeding those during the pandemic in some areas. The predicament is easily understood as the result of an increase in commercial rents plus a decline in custom, particularly during weekends and holiday periods. But who can blame those northbound travellers? And what can be done to tackle the woes of the small, local shops serving residential zones? The first question may be rhetorical, but the second warrants serious thought and a nuanced approach.

The Northbound Travel for Macau Vehicles programme could have been rolled out more gradually, but now there’s no going back, despite the double-edged sword it presents to local residents and businesses. The government appears to be aware of the problem, having launched important initiatives aimed at boosting the attractiveness of residential areas and of consumption there, which include revitalisation projects undertaken in tandem with gaming operators in order to break the monopolisation of tourists’ time by the integrated resorts and major tourist zones. These initiatives may not yield immediate sound results, however. Effective outcomes may only materialise in a future that may be too late for the number of small shops already running on borrowed time.

A pure, supply-and-demand, free-market approach requires local shops to adapt or perish, to adjust and innovate or fade into obsolescence. And while it’s true that market rules will prevail and these businesses must strategize, the fact remains that for a number of them it will be a challenge in some ways tougher than the pandemic. They simply won’t make it unless “shopping small” in Macau is afforded an adequate level of support and protection.

When Ho Iat Seng returns for a Legislative Assembly Q & A later this month, these issues will likely be foremost among the legislators’ and community representatives’ concerns. One hopes the Chief Executive won’t downplay these worries but will instead provide additional tools, even life jackets, if needed, for those fighting to keep heads above choppy water. That sinking feeling is a recipe for disengagement.

《商訊》2024年3月 | 總監之言 – 馬天龍

澳門隆重其事地迎來了龍年，入境旅客人數幾乎恢復至疫情前水平。儘管1月賭收輕微下跌，但2月仍保持穩健。在2023年生產總值年增率達80.5%的亮眼成績推動下，小城一系列宏觀經濟數據繼續向前飛奔。有預測稱，澳門將再次實現雙位數成長（十至十幾個百分點之間），城市經濟生產總值有望恢復至2019年水平的90%。然而，當利好消息紛飛而至，沉迷於“重返巔峰、一切皆無限可能”的心態並不明智。在維持一派樂觀的情況下，人們很容易發現“天國也有煩惱”。儘管“講好故事”成為當前社會主調，但新聞媒體公開闡述不應是童話故事，應該秉持獨立、公正、平衡的原則，始終追求信息的準確性。在日益兩極化的環境下，我們似乎發現自己處於一種必須在陰暗與厄運和永遠的陽光與彩虹之間選邊站隊的境地。現實要微妙得多。 

儘管澳門去年經濟復甦良好，但地緣政治及籠罩全國的各種不確定性仍佔據關鍵位置。內地疫後經濟復甦未達預期。除官方數據外，實際情況也值得關注。作為國家最高立法機構和諮詢機關，全國人大和全國政協在本月兩會開幕前坦然承認了這一點。儘管懷疑論者預計中國將在擺脫中等收入陷阱的道路上苦苦掙扎，但其他人則以正確的角度看待問題，將中國經濟與世界主要經濟體進行比較，並意識到內地房地產市場和青年失業問題正逐步得到解決，以“高品質發展”為基礎的新經濟模式亦已具雛形。 

面對一系列挑戰，正確的解決方案是以需求方經濟為主？還是供應方？何為正確的組合？ 

近月來，城市央行先後推出下調金融機構存款準備金率等措施，旨在促進融資，為市場流動注入動力。然而，有觀察家認為，當局應採取大刀闊斧地政策大規模刺激消費，以防潛在的通貨緊縮螺旋式上升，而非以零敲碎打的姿態小步前行。儘管大規模刺激經濟計劃的成效仍有待觀察，但扭轉資本外流和引入新的外國直接投資也是北京提出的基本任務。與其他（重新）開放政策一樣，針對外國旅客和商務旅客的新簽證政策確實廣受歡迎。但，這一切夠嗎？ 

澳門能否置之度外？當然不能。內地經濟更穩健、更強勁的復甦是關鍵。事實上，澳門一直享受著跨境旅客和消費帶來的福利，但城市房地產市場持續低迷，人們對當前或未來可支配收入的擔憂尚未平息。在此背景下，雖然外部因素不可用，但城市內部正確的公共政策能夠創造新的局面。中央政府的持續支持當然是絕對必要的條件，但如果地方政府、官僚和商界精英無法完成特區未來數年的艱鉅任務，又談何成功？目標已定，措施亦正落實，但我們仍須謹記，實際行動遠比誇誇其詞重要得多。 

這座城市能夠根據國家和地區發展策略制定專屬的路線，同時堅持代表其公民和企業發出多元化的聲音並取得關注。無論在北方，還是在這裡，這些腳踏實地的聲音必將得到關注和歡迎。  

Macau Business Editorial |March 2024|  By José Carlos Matias – Director

Macau ushered in the Year of the Dragon in style and with a bang. Tourist arrivals came close to equalling pre-pandemic levels, and gaming revenue remained solid in February, even if slightly down on January’s number. The city’s macroeconomic figures continue to shine, with gross domestic product jumping 80.5 per cent year-on-year in 2023. Projections show another double-digit increase in the cards for 2024 (a per cent in the low teens), one that will bring the city’s economic output to 90 percent of pre-pandemic 2019 levels. 

Yet we mustn’t let the torrent of good news wash away those hard-earned miles we put between us and the ‘good-old-heyday-when-the-sky-was-the-limit’ way of thinking. Not to dampen the upbeat atmosphere, but it’s easily to see not all is well in paradise. There has been a lot of recent focus on “telling the good stories”, but the storytelling from the news media and journalism is not fairy tales; we should strive for fair, balanced reporting ever in pursuit of accuracy, public interest, and editorial independence. In an increasingly global polarised environment, we seem to find ourselves being forced to take sides – to choose between gloom and doom and everlasting sunshine and rainbows. Reality is far more nuanced than that.

While last year’s results bode well for Macau’s economic recovery, geopolitical and nationwide uncertainties remain key factors. The mainland’s post-pandemic rebound has fallen short of expectations. And beyond the official figures, goings-on at street level, too, are cause for concern. Central authorities acknowledged this fact just prior to the opening on March 4 of this year’s “Two Sessions” – meetings of the country’s top legislative body (NPC) and advisory body (CPPCC). While sceptics foresee China struggling to escape the so-called “middle-income trap”, others put things in perspective, comparing the Chinese economy to major powerhouses around the world and indicating that the mainland’s property market and youth unemployment woes are being addressed, with a new economic model emerging grounded in high-quality development.

Should these challenges be tackled through demand-side economics or a supply-side approach? What might the right mix be? 

Recent months have seen the Central Bank roll measures out including cutting the reserve requirement ratio for commercial banks, an adjustment aimed at boosting lending and injecting liquidity into the market. Some observers, however, make the case for bold, rather than piecemeal, moves, citing the need to massively spur consumption and prevent potential deflationary spirals. While it’s not yet known if or when a massive stimulus package will come to fruition, Beijing has named reversing capital outflows and attracting a fresh influx of foreign direct investment as fundamental tasks. The new visa scheme designed to facilitate foreign tourism and business visitation is certainly a welcome measure, alongside other (re)opening-up policies. But does all of this go far enough? 

And can Macau remain insulated from it all? Hardly. An increasingly robust economic recovery in the mainland, one that must remain sound, is key. It’s true that Macau has been enjoying a windfall of visitation and spending from across the border, but the city’s property market continues to stagnate, and concerns over current and future disposable income have not been put to rest. Against this backdrop, the impossibility of harnessing externalities notwithstanding, the right domestic public policies could make a difference in our city. While continuous support from the Central Government is an absolutely necessary condition, will it be enough, if the local government and bureaucratic and business elites fail to live up to the highly demanding tasks facing the SAR in years to come? The course is set, measures are being adopted, but of paramount importance is actually going beyond slogans and injecting more substance into the buzzwords.

Our city can navigate that course, aligned with national and regional development strategies, without losing its own voice – one of diversity, one that speaks for both citizens and businesses. That share of voice will certainly be heard, and it will be heeded –up North and right here, down-to-earth.

《商訊》2024年2月 | 總監之言 – 馬天龍

在上一個龍年（即2012年），澳門賽馬投注為博彩總收入貢獻了澳門幣3.56億元。儘管這一記錄仍僅為2005年收入的不到一半，但與去年的慘淡收益相比，已達九倍之多（約4,000 萬元）。客觀地說，2005年賽馬投注收入僅佔博彩總收入的1.38%，但到2023年，這一比例急劇萎縮至0.021%。澳門賽馬會的不祥命運可謂早已註定，但請注意，當營運商在2018年獲延長賽馬專營特許合同24年時，其投注收入就已跌至了1.01億元。難道當時的決策者就不是本末倒置嗎？

隨著澳門賽馬會經營賽馬專營批給合同終止，這座城市又一項博彩形式落寞離場。這距離賽狗場關閉和賽狗活動退場已有六年之久。不得不說，這一姍姍來遲的決策是明智的。面對娛樂場幸運博彩的壓倒性優勢，彩票和體育博彩等其他持續存在的博彩形式實際上已處於邊緣地位。在博彩領域，多元化的故事純屬虛構。

除引起與博彩相關的話題外，澳門賽馬會的傳奇故事還引發了社會對過去專營特許合同延期和未來土地使用的討論。本期就此展開探討並嘗試描繪將來的畫面。本地出生率、生育率和城市人口趨勢等也是本期專題報道的重點內容。世界知名的“龍寶寶”今年就滿12歲了，在那個吉祥的年份，澳門有7,315名新生兒誕生。撇除2014年，本地出生率持續下降，至2022年僅為“2012壬辰龍年”的六成。在本期專題報道，我們深入分析導致出生率下降的諸多因素。

作為高度發達經濟體的一個常見問題，出生率低正對世界各國造成日益嚴峻的挑戰。立法會議員和政府官員之間的交流表明，該議題已被列入特區議程。但到目前為止，當局僅採取零敲碎打的做法，仍未看到任何錦囊妙計。然而，城市管理者應該給予更多關注，並綜合各方因素，提出可行的長久之策。當務之急不僅是要提高出生率，還有必要進一步妥善解決城市人口老化問題。可喜可賀的是澳門的人均壽命僅次於香港，與日本並列世界第二。

時任行政長官崔世安在2012年元旦獻辭中承諾：“特區政府將積極實施世界旅遊休閒中心的發展藍圖，鞏固現有優勢，促進經濟適度多元。”

現任澳門特區領導人賀一誠在今年的演講中傳達了類似的、更強烈的訊息。

2024甲辰龍年，我們是徐徐前行？還是龍驤虎步？

龍馬精神! 

恭喜發財！

Macau Business Editorial | February 2024|  By José Carlos Matias – Director 

The last time it was the Year of the Dragon (2012), Macau’s Jockey Club (MJC) generated MOP356 million in gross gaming revenue (GGR). That was already half what it was in 2005, but it’s nine times the meagre figure (MOP40 million) reported last year. To put things in perspective, while the take at the track in 2005 was just 1.38 per cent the amount of casino GGR, by 2023 that had been decimated to just 0.021 per cent. For the MJC’s operator you could say the writing was on the wall and plain to see. It’s noteworthy to highlight that back in 2018 when its operating concession was renewed for an eyebrow-raising 24-year term, revenue had already dwindled to MOP101 million.

The termination of the MJC’s concession contract sees the city bid farewell to yet another gambling activity, six years after the closure of the Canidrome spelled the end for dog racing (a wise move and long-overdue in the case of the greyhounds). Remaining forms of gambling such as lotteries and sports betting are dwarved by the overwhelming hegemony of casino games of fortune. Within the gaming activities sector, diversification is a figment.

Beyond gaming, the MJC saga invites present discussion of the contract extension that was granted in the past and what use will be made of the site’s precious land in the future. Both are addressed in this issue of Macau Business and will most likely see relevant developments in the not-so-distant future. 

Also taking centre stage this month are the city’s birth rate, fertility and overall demographic trends. Macau’s famous “dragon babies”, born in an auspicious 2012 with 7,315 live births, will celebrate their 12th birthdays this year. It’s a figure that has seen a steady decline, down year-on-year with the exception of 2014, with births in 2022 at just 60 per cent of the 2012 Dragon Year’s total. This issue’s special report delves into the multifaceted repercussions of a declining birth rate – a problem shared by a number of highly developed economies and one that is becoming an increasingly persistent challenge both here and over the border. The matter is now ensconced on the city’s agenda, as evidenced by exchanges between legislators and the government, but so far any response has been piecemeal. While there’s no magic elixir, due attention could be paid and an integrated package of measures and long-term policies adopted – not just to boost the birth rate but also to better address the city’s ageing population, with Macau (thankfully) ranking second in the world for life expectancy (just behind Hong Kong).

In his New Year Message for the Year of the Water Dragon, 2012, then Chief Executive Chui Sai On pledged to “take the necessary initiatives to realise the ‘world centre of tourism and leisure’ project, committing to consolidating existing advantages and promoting the appropriate diversification of the economy”.

A similar, more emphatic message was conveyed by the current SAR leader, Ho Iat Seng, in his address for this year.

In this Year of the Wood Dragon, 2024, will we hold our horses – or release the dragons?

龍馬精神! · Happy Chinese New Year of the Dragon! · Kung Hei Fat Choi!

去年博彩旅遊業的復甦情況超出預期，雖然內地經濟狀況存在隱憂，澳門銀河娛樂的領導層對今年及未來的發展前景持樂觀態度。繼集團第三期物業最近落成後，主席呂志和和副主席呂耀東分享了他們對澳門不斷發展的博彩和非博彩行業的看法，隨著多元化發展勢頭增強和中場博彩收入不斷擴大，大眾市場、休閒、娛樂、運動賽事和會展獎勵旅遊將成為發展重點。

文：馬天龍／Mandy Kuok

澳門銀河第三期物業的銀河國際會議中心(GICC)、銀河綜藝館、澳門安達仕和澳門銀河萊佛士酒於2023年逐步開業，並已投入運營。目前還有更多項目正在籌備中，其中計劃於2024年竣工的第三期計劃內將增加高端酒店品牌，令銀娛旗下酒店品牌總數增至10個。

第四期計劃預計於2027年竣工，將增加酒店容量、綜合度假村和會展設施為特色。 此階段將包括更多高端酒店品牌、一座擁有4,000 個座位的劇院、豐富的餐飲設施、零售、非博彩設施、景觀美化和水上度假村等，開發面積約60萬平方米。

透過這些投資，銀娛預計將鞏固其作為領先營運商的地位。銀娛發展策略的核心是「MICEE」概念，在銀娛主席呂志和的推動下，為現有的 MICE（會議、獎勵旅遊及展覽）增添娛樂元素。

博彩旅遊業轉向發展

對於目前內地經濟狀況轉弱可能帶來的負面影響，銀娛主席呂志和認為，澳門主要集中發展旅遊博彩及娛樂業，過去十年因為社會進步，澳門持續發展，大家都很清晰，未來可以將澳門的發展進一步擴大和更現代化，只可惜有關計劃開始數年便因疫情而停滯。但不論進度如何，大家均是跟隨政府的發展腳步走，按牌照規定做事，雖然過去兩、三年仍停留在舊有的運作模式，但在設計上已將整個發展計劃擴大了許多。疫情結束後，每家博彩營運商都有不同的發展，訪澳旅客量亦大幅增長，相信此情況還會持續，加上澳門推出新的政策和意念，相信會改變博彩旅遊業的舊作風。

副主席呂耀東則表示，澳門銀河第三期的各項新設施是在過去三年新冠疫情下努力奮鬥才完成，過程雖然很辛苦，但看成果仍覺得很高興，尤其是今年一月疫後恢復開放，澳門的情況很理想，截至十一月賭收已達一千六百多億澳門元，此成績令人欣喜，由此亦可看到澳門經過這幾年的發展，已由單純的博彩城市轉向多元發展。澳門銀河第三期亦是跟隨政府的步伐，由單一旅遊博彩轉向多元發展，所以銀河第三期包括會議中心、綜藝館及休閒酒店，以適應市場發展的趨勢。

呂耀東認為，內地經濟疲弱是全球政治及經濟不明朗導致，並非只是內地出現此問題，但澳門在一國兩制下，有博彩及旅遊業支撐下，發展仍然不錯，理想的博彩收益是政府給予支持、信任下取得的成績，亦鼓勵銀娛做得更好，相信在各方支持下會取得成功。

對於今年政府施政報告首次提出澳門發展成演藝之都、體育之城的目標，呂耀東表示，政府施政報告提出這兩個目標，應是配合特區政府1＋4的多元發展方向，在此方向中，主要是吸引更多國際旅客，尤其是休閒和家庭旅客來澳，其中要吸引更多含金量高的旅客。銀娛一直希望利用體育盛事、國際化等元素吸引更多旅客來澳，例如早前知名韓國女團在澳門演出便吸引了很多旅客來澳，另外早前舉辦的球類賽事亦吸引了不少人來澳觀賽。

澳門銀河新的綜藝館可容納16,000觀眾，應該是目前澳門最大的演藝館。呂耀東表示，新會議中心配備了很多新科技設備，可為用者提供更靈活、更貼心的服務。澳門銀河能配合政府發展演藝之都、體育之城並非巧合，而是經過一連串的規劃和部署，為這些活動盛事做好準備。

至於未來的挑戰，呂耀東希望澳門能盡快從疫情恢復過來，尤其是交通和通關能更方便，機場航班亦能盡快復常。此外，人才方面希望能吸納多一些語言能力強的人士，以利與各方人士溝通，令澳門未來發展更好。

多元化支持澳門建設

疫情開放後，整體旅客增長情況令人滿意，內地許多城市的旅客量已回復至接近疫情前水平，貴賓廳的市場佔有率亦低於20%。對於銀娛未來在博彩市場狀況，呂志和表示，按現在情況，不論澳門或內地政府均不希望貴賓廳佔大部份市場份額，事實亦不應停留在過去依靠貴賓廳發展博彩業的情況。因此，博彩旅遊業未來除了要具備符合個人興趣的娛樂活動外，體育、科技及演藝等各方面均要配合，摒除舊思維，才能令社會有進步。現在已很清楚看到來澳旅客除了博彩娛樂活動外，亦有很多其他方面的需求，澳門銀河已在設備、住宿、餐飲、購物等各方面均有很大的改變，例如購物方面，銀河的店舖都是最頂尖的高端品牌，為客人提供更好的旅遊體驗。

呂志和預期，明年澳門社會經濟將完全恢復，並將進一步向好，銀娛將繼續透過多元化產品，積極配合特區政府吸引外國客源的政策，以務實行動支持澳門建設“演藝之都”及“體育之城”。同時亦會繼續支持特區政府發展社區旅遊，讓不同旅客能感受澳門的歷史文化，助力豐富澳門客源市場組合。

呂耀東指出，就市場佔有率而言，銀娛已做得很好，日後將繼續擴大大眾遊戲業務，現在的問題是銀娛需要確保非遊戲部分也以相同的速度發展，這是一個挑戰，也是集團關注的重點。相信所有人來到澳門，除了博彩之外，還可以享受購物、娛樂、體育賽事等，希望未來博彩產業能夠帶動其他產業。未來還需要專注於業務的各個環節，博彩市場競爭相當激烈，不論博彩業務或非博彩業務，銀娛都要致力於確保所有環節有序發展。

在吸引國際旅客方面，呂耀東表示，澳門可以透過競爭來吸引國際遊客，澳門銀河很有信心在這方面會取得成績，但並不會是因為價格比較便宜，畢竟澳門的營運成本實際上比其他國家和地區相對要高。因此，澳門銀河必須擁有規模、服務和世界一流的活動才能吸引旅客。此外，澳門需要有更多來澳航班，同時交通網絡亦要變得更好，以及更多多語言人才。所有這些條件加上優質服務，便是銀娛支持澳門政府吸引更多國際遊客來澳門的正確途徑。

參與社區活化

至於銀娛與特區政府文化片區的合作模式如何產生一加一大於二的效應，呂耀東指出，特區政府希望在澳門文化特色方面多做工作，銀娛對此亦非常支持。澳門四大產業中，文旅會展產業是其中重要一環，澳門銀河由第一期開始已陸陸續續推出一些項目，現在進一步推展如音樂會、表演及親子活動等項目，未來會持續此類活動，讓客人及澳門居民均能享受這些活動帶來的樂趣。

關於銀娛與特區政府攜手推進的荔枝碗船廠片區活化項目，呂耀東表示，主要以本地及造船業歷史為主題，結合休閒娛樂、親子及運動元素，將荔枝碗船廠片區打造成澳門文化的新地標，集團一直與澳門政府有交流，正就落實第一期項目的開發概念，以及相關優化工程進行緊密溝通，政府亦滿意該計劃，並逐步推進相關工作，預計2024年第三季起分階段完工。第一期項目設施包括多項親子兒童遊樂設施、大型腳踏車及滑板車等遊玩場地。

與此同時，集團已開始定期於片區設置不同的打卡裝置及舉辦不同活動，如於格蘭披治大賽車期間設置相關的主題裝置；並於聖誕、除夕及農曆新年期間特別製作相關的主題裝置、舉辦活動和表演，如：遊戲攤位、薩克斯管等音樂演出，以及街頭魔術、小丑互動表演等。

《商訊》2024年1月 | 總監之言 – 馬天龍

去年，在亞太區某地舉行的會議上有人提出了這樣一個問題：澳門博彩業是否已連“名字也不能被提及”。儘管這一疑問或有點言過其實，卻實在地反映了人們對與非博彩更廣泛領域的看法——2022年賭牌公開招標將“非博彩”拉至聚光燈之下，以及新博彩專營合約生效之初澳門各大博企承諾作出的非博彩投資規模（非博彩與博彩元素的比例為9比1）。有聲音猜測，特區當局計劃最終透過中長期的努力逐步淘汰娛樂場博彩行業。在澳門政府收緊對娛樂場監管的前提下，加上國內外多地相繼推出與博彩業相關的新法規和新舉措，面對苟延殘喘的博彩中介人及其無力繼續為本地娛樂場引入的大量資金，本地博彩業將如何繼續獨領風騷？ 

2023年，博彩業開啟嶄新時代。過去一年的發展可見，這些憂慮在當時是可以理解，但值得慶幸，他們的想法並不成立。澳門的韌性和持續的吸引力，尤其是對內地和香港旅客來說，拉動了博彩行業穩健復甦（去年全年賭收共澳門幣1,830 億元）。儘管仍僅恢復至疫情爆發前的62%，卻勢如破竹地大步向前躍進，反彈幅度遠超一年前最樂觀的預期。更重要的是，根據2023年年終結算，本地博彩總收入已恢復至2019年的 81%。

有分析師指出，澳門政府預計2024年博彩總收入將輕鬆超越2,160億元。讀者們或許明白，這座城市實非一個追逐“水晶球”寓言的地方；在過去十年的鼎盛時期，我們既未信奉“一切皆有可能”的預測，也不曾於新冠肺炎疫情肆虐期間因“即將崩潰”的假設陷入低潮，尤其是2022年的黑暗日子。儘管如此，“非常清楚”的是，復甦的步伐不僅對澳門經濟來說是個好兆頭，也有利於過去一年出現的博彩收入新結構（不考慮疫情期間）。中場眾望所歸地登上了行業霸主寶座（2023年末的業績趕超了 2019年水平），貴賓廳業務退居二線。儘管如此，正如本期專題報道所展開的探討那樣，博彩中介人行業的銷聲匿跡並不代表豪賭客就此消失。絕不。非但如此，誠如接受本刊記者訪問的專家所指出的那樣，他們轉身成為高端中場客戶，穿梭於博企的直營貴賓廳和娛樂場耍樂樓層中。

這表明了被壓抑的需求，以及澳門和內地政府的監管成為了後疫情時代的關鍵因素，後者體現了典型的政治維度，值得更深入的分析。除此之外，博企適應市場持續變化和更複雜客戶的能力，也是重中之重。在我們看來，這就是博彩業務和非博彩元素整合、有機交織之處，即在演出、表演藝術、娛樂、體育賽事、餐飲、零售等方面為旅客打造嶄新體驗。誠然，“多元化”不僅是時下的熱門詞彙，也是一個關鍵字。我們已經看到了結果。對於才步入新一輪十年博彩專營期不久的澳門來說，在實現政府和博企定下的遠大目標前，仍有漫漫長路要走。

若澳門止步於大中華市場龐大的舒適區，未能真正實現“打造世界旅遊休閒中心”的不凡抱負，那將令人寒心。隨著旅遊業主管部門越來越積極地與六大博企及其他持份者合作在海外推廣澳門，人們期待今年的國際旅客數字將實現期待已久的增長。為此，航班數量的提升、流動性的優化和多語言專業人員的增加將是成功的關鍵。

與此同時，政府和博彩特許經營商達成真正的“公私合作夥伴關係”並著力推進“演藝之都”、“體育之城”的建設及地區活化項目，贏得了掌聲。就此而言，重點是適當地對有關安排進行微調並密切注意，以防出現功能失調。

歸根結底，博彩業從未被視為“不能被提及的行業”，是被歷史選中的行業，是“天選之”。在解決行業副作用的同時，需將最大限度地發揮行業潛力列為重點，致力為社會大眾謀求更大的福祉並推動城市多元化經濟發展。作為澳門特區這十年肩負的重任，這關乎城市未來發展的成敗。

By José Carlos Matias and Mandy Kuok

Photos by Oswald Vas

Galaxy’s leadership is optimistic about the prospects for this year and beyond. Following the recent inauguration of the group’s Phase 3 properties, Chairman Lui Che Woo and Vice Chairman Francis Lui share their perspectives on the evolving gaming and non-gaming sectors in Macau. In an interview with Macau Business, they delve into the path forward as the push for diversification gains momentum and mass gaming revenue keeps on expanding. Mass market, leisure, entertainment, sports events, and MICE take centre stage.

Construction works are progressing steadily at the Cotai land parcels under Galaxy Entertainment Group (GEG). Phase 3 properties are already up and running, bustling with activity due to the gradual opening of Galaxy International Convention Centre (GICC), Galaxy Arena, Andaz Macau, and Raffles at Galaxy Macau throughout 2023. However, there’s more in the pipeline, with a new high-end hotel brand within the Phase 3 parcel scheduled to be completed in 2024, bringing the total number of hotel brands under GEG to 10.

Next in line is Phase 4, slated for completion in 2027, featuring increased hotel capacity, integrated resorts, and MICE facilities. This phase will include additional high-end hotel brands, a 4,000-seat theatre, extensive F&B, retail, non-gaming amenities, landscaping, and a water resort deck, covering approximately 600,000 square meters of development.

With these investments, GEG expects to solidify its position as a leading operator. This comes after the industry experienced a robust recovery in the first post-pandemic year, guided by the terms of the new concession contract, which prioritises non-gaming commitments.

MICE+Entertainment time

At the core of Galaxy’s approach is the concept of “MICEE,” which adds Entertainment to the existing MICE (Meetings, Incentives, Conventions, and Exhibitions), as promoted by GEG Chairman Lui Che Woo. This direction brings “innovative technology and thinking to the younger generation” and “also helps Macau break through the old structure, improve itself, move towards innovative technology, new modern thinking, and keep pace with world cities,” explained the 94-year-old Chairman, Executive Director, and founder of Galaxy in a joint interview with Macau Business alongside the group’s top officers.

The company’s new 16,000-seat capacity Galaxy Arena, hosting headline pop stars, shows, and sports events, along with the 40,000-square-meter GICC, align with the aim of supplementing the Galaxy Macau property with space to enhance its role in the MICE and entertainment segments. This, in turn, generates a spillover effect in gaming, retail, and dining revenue. The installed capacity is also in line with the government’s upcoming focus on Macau as a “City of Performing Arts” and a “City of Sports,” objectives emphasised in the SAR’s Policy Address for 2024, as underscored by the Galaxy Chairman. This is also intertwined with another key aim: boosting international visitation.

Enhancing overseas allure

GEG Vice Chairman and Executive Director, Francis Lui Yiu Tung, son of the senior Lui, advocates for a focus on quality and the role of entertainment and sports events. “We should concentrate on attracting more international tourists to Macau, especially leisure and family tourists,” he emphasises, adding that this entails attracting more high-quality and valued visitors.

The government has set a goal of luring around two million overseas visitors to the SAR. Considering the global and regional competition, where main hubs compete for international tourists, how can we take the city to the next level in this respect? When asked about how to achieve this, Francis Lui highlights quality, mobility, and multilingual talent as key factors. “I’m confident Macau can compete to attract international visitors, but not because it’s cheaper,” he asserts, noting that, in that respect, Macau is more expensive than many other destinations. “So, this is where we have to have the scale, the service, and the world-class events to be here and attract foreign visitors.” Moreover, “we need to have the flights coming in, transportation improving, and we need to have multiple language talents.” In a nutshell, “with all that coming together, we will be competing because we have better quality,” added Francis Lui, who is also the managing director of Galaxy Casino SA, the GEG subsidiary holder of the Macau gaming concession.

Revitalisation commitments

Under the new ten-year gaming concessions that have been in effect since January 1, 2023, Galaxy pledged MOP28.4 billion in investments, with MOP27.5 billion allocated to non-gaming projects. These encompass new facilities such as a 61,000-square-metre “first-and-only high-tech amusement park,” a 4,000-seat music and performing arts theatre, and an art museum, among other initiatives, as announced a year ago.

The gaming concessionaires are also contributing to the revitalisation of old neighbourhoods to support community tourism. GEG was assigned the task of revitalising the Lai Chi Vun shipyards in Coloane. “We have been working closely with the Macau government and are in constant communication regarding the implementation of the development concept for the first phase of the project and related optimisation projects,” said Francis Lui, revealing that “it is expected to be completed in phases starting from the third quarter of 2024.” The renovation plan will be executed in two phases, with the first phase focusing on the construction of an exhibition hall that will celebrate the history of the shipbuilding industry in the area, including several family-oriented facilities.

Lui Che Woo stresses that GEG “will continue to support the Macau SAR government in developing community tourism so that different tourists can experience Macau’s history and culture and help enrich the mix of Macau’s tourist source markets.”

Mass market supremacy

While non-gaming takes center stage, the lion’s share of the revenue comes from gaming, the ‘head of the dragon’ that leads the other sectors. In terms of gross gaming revenue (GGR) market share, Galaxy has consistently ranked second among the city’s six operators over the past years, trailing only behind Sands. This standing also applies to adjusted property earnings before interest, taxes, depreciation, and amortisation (EBITDA), as shown in the latest quarterly results of the operators.

In the post-pandemic era and under the SAR’s new gaming regulations and concessions, the GGR structure has shifted significantly compared to before the pandemic, with the VIP segment shrinking and the mass market expanding. In the case of Galaxy operations, the results for last year’s third quarter show that the mass market segment surpassed pre-pandemic levels of the third quarter of 2019, while VIP-generated revenue only accounted for 12 per cent of what was recorded in 2019, according to data compiled by consultancy 2nt8 Limited.

Asked about the revenue stream trends, Francis Lui expressed satisfaction. “We are doing quite well,” he said, adding that the group is “pretty happy” as the latest figures indicate that mass market revenue exceeded comparable levels in 2019. “We will continue to expand in mass gaming,” emphasised the Vice Chairman of GEG. Sitting next to him in this joint interview, Galaxy’s Chief Operating Officer (COO) Kevin Kelley noted that “with regards to gaming GGR, the competition is quite fierce, and we are up for the challenge,” adding that the company pays “close attention to all segments of the business.”

Lifting non-gaming

How much and how fast can non-gaming revenue grow? That is an important question when gauging diversification, starting with gaming and integrated resorts themselves. “We need to ensure that the non-gaming part is also progressing at the same rate,” Francis Lui stresses.

Non-gaming net revenue has been claiming a larger share after the pandemic. For instance, non-gaming’s share increased from just 13 percent of gaming net revenue in the third quarter of 2019 to 20 percent in the July-to-September period of 2023, as per Galaxy company results. The results show that non-gaming net revenue for the third quarter of 2019 has already surpassed that of the comparable period in 2019.

Francis Lui mentions that the further expansion of non-gaming revenue is a challenge that Galaxy “is focusing on.” His confidence stems from the perspective that “when people come to Macau, in addition to gambling, they can enjoy shopping, entertainment, sports events, and more.”

Visitor patterns, behaviour, and expectations are evolving. “It is now evident that tourists visiting Macau have many other needs besides gaming,” Lui Che Woo adds, pointing the way forward: “Only by discarding old thinking can society progress.”

Macau Business Editorial | January 2024 |  By José Carlos Matias – Director 

“Has gaming in Macau become ‘that which must not be named?'”, someone asked at a conference elsewhere in the Asia-Pacific region last year. 

While it might be overstating things to give it taboo status just yet, the question does reflect a perception around the broader issue of the 2022 gaming public tender’s non-gaming focus and the magnitude of the operators’ commitments on non-gaming investments under the new gaming concessions. 

At some point, a couple of years ago, some voices even speculated about whether the authorities’ endgame might involve phasing out casino gaming in the mid-to-long term. After all, how could the industry continue to shine with the near extinction of junkets (and the significant funds they brought in) and the screw-tightening from new gaming-related regulations and measures being implemented locally and across the border?

One year into the gaming industry’s ‘new era’ has shown us those concerns – though understandable at the time –are thankfully not holding water. Macau’s resilience combined with its persistent allure, especially for those hailing from mainland China and Hong Kong, resulted in sound recovery for gross gaming revenue (GGR) in 2023 (MOP183 billion), which despite being just 62 per cent of pre-pandemic levels is way beyond the most optimistic guesses hazarded a year ago. More importantly, year-end GGR figures (December) recovered to 81 per cent of 2019 levels.

Some analysts are already belittling the Government’s MOP216 billion GGR forecast for 2024 as “easily surpassed”. As our readers will know, we are not in the habit of jumping on the crystal ball bandwagon: we neither bought into astronomic sky’s-the-limit predictions during the last decade’s heyday nor foretold of the “coming collapse” at the low-ebb of COVID-19, particularly in 2022. What is crystal clear, though, is that the pace of recovery bodes well not only for Macau’s economy but for the new gaming revenue structure that emerged in the post-pandemic part of last year. The much-anticipated rise to supremacy of mass-market GGR is now a reality (with late 2023 levels outpacing 2019 levels), and VIP-generated revenue has taken a back seat. Nevertheless, as we explore in this issue’s special report, the junket sector’s near-demise was not an extinction event for high rollers. Far from it. Experts in our special report reveal they can still be found in company-direct VIP rooms and on gaming floors – as premium-mass customers.

What this suggests is that post-COVID pent-up demand and management by authorities on both sides (SAR and mainland) have been key factors, the latter reflecting an essential political dimension that warrants deeper analysis. Add to that the operators’ ability to adjust to an evolving and more sophisticated clientele, and this is where we find an integrated, organic intertwining of gaming and non-gaming: namely through providing new experiences for visitors in terms of shows, performing arts, entertainment, sports events, dining, retail, and so on. Indeed, “diversification” is no longer just a buzzword; it’s now also the keyword. And we’re already seeing results. Yet it’s only early stage in the 10-year concession period, and there is still a long way to go to reach the ambitious targets set by both government and operators.

It would be a disappointment to see the city resign itself to its massive Greater China market comfort zone, failing to live up to the World Tourism and Leisure Centre mantra. Yet with the tourism authorities showing themselves increasingly proactive in promoting the SAR abroad, alongside the “Big Six” and other players, it’s within reason to hope for a much-needed boost in international visitation this year. To that end, more flights, easier mobility and skilled multilingual professionals will be key.

Meanwhile, the laudable focus on Macau’s urban revitalisation and its “City of Performing Arts” and “City of Sports” ambitions is being delivered in a de facto “public-private partnership” between the government and gaming concessionaires. But therein lies an important duty to fine-tune those arrangements and keep an eye out for dysfunctions.

Rather than ‘that which must not be named’, the history of Macau has shown gaming to be the ‘Chosen One’. And while addressing its side effects, a focus on maximising the gaming industry’s contribution for the greater public good while fostering diversified, inclusive, and sustainable economic development stands as the quintessential undertaking for the SAR in this decade. What awaits us further down the road hinges on getting this leg of the journey right.

《商訊》2023年12月 | 總監之言 – 馬天龍

過去一年的變化令人恍如隔世。去年，正當我們因“零感染”隧道盡頭漸露的曙光雀躍之時，當局忽然剎停了所有防疫限制政策，突如其來的幸福儘管姍姍來遲卻絕對是秉要執本。然而，人們選擇將這段狼狽不堪的三年埋藏在記憶深處，猶如平衡空間一樣，我們從2019年底直接穿越到了2023年初。但我們都清楚事情沒那麼簡單。毫無懸念，世界無法安然渡過那段猶如噩夢般的年月，全球地緣政治緊張局勢加劇，港澳特區則面對著天翻地覆的轉變。

即便如此，正如那些堅決抵制災難預言者提出“末日即將來臨”口號時強調的那樣：“我們與澳門常在”，擁有澳門，就能獲益。問題依然存在，但2023年的變化恰恰向人們證明了這一點。

儘管這座城市確實與眾不同，卻無法遺世獨立。澳門特別行政區無可避免地受到城市內部、國家和全球發展的影響。

今年第四季向人們發出了警醒，全球互賴的實際務必要求重啟可控（競爭與合作）模式，為這個時代的兩大頂級強國：中國和美國之間的關係“奠定基礎”，就正如11月中旬兩國領導人會晤時所提出的那樣。不久前，澳洲總理訪華一事也展現了堪培拉與北京之間關係基調和令人欣喜的實質變化。

棘手問題懸而未決，但“穩定”前景的先決條件是開闢前進道路。儘管我們都清楚風險仍在，在此看來，來年世界將上演一系列關鍵的政治大戲，例如1 月的台灣選舉、6月的歐洲議會選舉及11月的美國總統大選。所有這一切都以烏克蘭和中東的戰火為背景，國際經濟成長引擎難以獲得動力。國際貨幣基金組織(IMF)預計，2024年發達經濟體的平均增速將放緩至1.4%。

經濟結構獨特的澳門將維持其城市生產總值 (GDP)的強勁增長：從2023年的預計增幅74.4%，到明年繼續上漲27.2%。然而，值得注意的是，如果IMF的預測成真，小城直到明年才恢復到疫情前（2019年）水平的88%。

眾所周知，澳門特別行政區的生產總值與服務出口息息相關，即博彩和旅遊業。從這方面來看，復甦趨勢似乎不錯，但仍需觀察城市主要的旅客來源市場中國內地的經濟成長速度，以及可支配收入將如何擴大、資本（流出）流動的方式。中央政府近期推出一系列刺激措施的影響，加上計劃2024年初落實的額外（或許更大膽）舉措，不僅將決定中國經濟的增長幅度，還將決定當局協助城市抵消發達經濟體低迷表現帶來負面影響的舉措。正如2008年金融危機後，澳門顯然將受益於更大規模經濟刺激計劃的外溢效應。無論如何，當時大量湧入的熱錢讓決策者三思而行，可以理解。

當本地經濟步入了順暢的復甦大道，擴大預算的理由似乎有違常識，但我們認為這是必要的。在這方面，雖然維持和恢復關鍵的社會福利政策（包括公務員加薪）是明智之舉，當局削減疫情期間推行的公共服務支出卻令人質疑且令人感到格格不入。請不要忘記，政府採購商品和服務對於本地中小企業的存亡至關重要。當局應該透過一系列綜合的措施激活中小企業的生命力，非零碎鬆散的小恩小惠。面對這些問題，只掩耳盜鈴，也是大錯特錯。

明年，來到賀一誠首任施政的最後一年，也是寫就諸多重要里程碑的一年，包括行政長官選舉、新一屆主要官員任命、澳門特別行政區成立25週年。高效的管理時間和資源配置將是彌補疫情期間損失的時間、實現特區和橫琴深度合作區重要發展目標的關鍵。琴澳深合區將成為來年的焦點，預料將推行更多具體政策並取得豐碩成果。期望我們能及時趕上備受期待的習近平訪問，這一重要行程預料或在12月19日至20日期間進行。

一年可以造就不同，時間卻轉瞬即逝。

Macau Business | December 2023 | Special Report | Portugal in Macau

Almost one year after taking office as Portugal’s representative in the SARs, Alexandre Leitão takes stock of the tasks, achievements, opportunities and challenges he has been dealing with as Consul General, serving some 154 thousand citizens, 90 per cent of whom are based in Macau.

Mr. Leitão stresses that professionals and companies coming from Portugal bring important added value and contribute to Macau’s economic diversification strategy, as the country has key innovation-driven players in all “1+4” industries.

Hong Kong also ranks high on his agenda as he sees plenty of untapped potential for expanding relations.

Regarding the recent controversy surrounding the SAR’s changes to granting residency permits to Portuguese nationals without previous links to the city, the diplomat acknowledges finding this development strange, while he hopes to see improvements in this respect. The status and limitations of the practice of Portuguese as an official language are another concern he expects to see addressed, as he welcomes the recent moves by the local authorities in promoting Portuguese language education. Mr. Leitão is upbeat about prospects for deeper ties between universities and exchanges in both education and research and development.

It has been nearly one year since you took office. What would you highlight in terms of achievements and challenges so far?

Alexandre Leitão – The Consulate General’s mission encompasses two main areas: consular services and a more diplomatic realm, which comprises political, economic, and cultural dimensions. That is why this is one of Portugal’s five consulates that is considered at the same level as diplomatic missions.

The main challenge I had to face occurred right after I arrived in Macau on January 20: the demanding management of the impact of the pandemic, a period during which thousands of Portuguese nationals could not renew their ID cards and passports or request other services, such as applying for Portuguese nationality for their spouses. This surfaced as a very challenging task, aggravated by us having to handle these challenges with a small team – the smallest the Consulate had hitherto.

In other more political domains, we also dealt with some complex issues, some of which we are still handling, such as the Portuguese School of Macau, the legal regime concerning residency permits for Portuguese nationals, supporting measures for associations, or the status of the Portuguese language.

Talking about consular services, we have seen some criticism regarding the quality of the services provided. What has been done in this respect, and what are you planning to introduce to improve the situation?

A.L. – Here I would like to clarify something. I believe some of the critical remarks that have been made public are outdated and no longer hold water. Despite the limitations I just mentioned, namely regarding the shortage of human resources and the substantial increase in demand for services, which nearly doubled compared with the pre-COVID period, the fact of the matter is that we managed to break records in service provision in many ways. We estimate that by the end of this year, we will have handled over 35 thousand passports and ID cards. These figures are clearly above what we recorded in 2019 and in the years before.

When I arrived in January, we were accepting 100 bookings per day regarding passport and ID card services, while as of now, we have managed to increase it to 160 daily. In March, we set up a special service channel for urgent cases, which is now seeing lower demand, something that is also an important indicator.

All in all, in terms of passports, ID cards, notary services, civil registry, emission of student visas, and other visas, we have witnessed progress. Quality is not only about the number of people we serve. Here, we understand that we need to improve communication with the citizens, and in this respect, we still have plenty of room to get where we want to be. We have obvious human resources limitations in this regard.

In terms of Portugal-Macau relations, the visit of Chief Executive Ho Iat Seng to Lisbon was a major highlight. Could you tell us about the relevance and outcomes of this visit, which was Ho’s first overseas trip as the head of the SAR Government?

A.L. – As a courtesy visit, it was obviously important, as it signalled the Chief Executive’s willingness to emphasise that the relationship with Portugal is a special one; that is why he chose Portugal as the first overseas visit of his term. He was welcomed at the highest level from the Portuguese state’s side.

Regarding the results, one should note that the outcomes of this kind of initiative do not bear fruit overnight. These visits are part of a continuous process, of which these courtesy visits are essential as they convey a political message to various stakeholders. We will see how this follows through in terms of business opportunities for both sides’ investors, the preservation or enhancement of the Portuguese language, and also regarding tangible and intangible heritage.

The SAR Government has reiterated its focus on the development of the Portuguese language and continues to send local students for tertiary education studies in Portugal. This year, we also welcomed leadership from Portugal’s top universities to Macau. Conditions seem suitable for enhancing relations in this field. Do you see it this way?

A.L. – Yes, I do. The recent statements from the SAR authorities about the importance of strengthening the Portuguese language here align with what I mentioned earlier regarding the Basic Law (concerning the status of Portuguese as an official language) and in fulfilling the role of a platform with Portuguese-Speaking Countries. I have also devoted plenty of time to the Portuguese School of Macau.

Universities in Macau are dynamic, and as you mentioned, this year in the SAR, we hosted major Portuguese universities and all polytechnic institutes, indicating a commitment to resume exchanges and linkages interrupted by the pandemic. This signals an intention to embark on a process of intensified cooperation in terms of teaching and research and development.

At the Portuguese Consulate, we carried out a reform in our visa system to better meet the rising demand of students going to Portugal. However, I also hope to see more students coming from Portugal to study here in the Macau universities. This is of paramount importance, as having youths from both sides learn about different cultures, gastronomy, and social systems will provide them with an invaluable experience and worldview.

When you took office, one of your priorities was promoting Portugal as a modern and competitive partner of the SAR. What would you single out in this respect? How to strengthen the footprint of Portugal’s companies here, and what can be their role in Macau’s push for economic diversification?

A.L. – After the pandemic took a toll on exchanges and in-person events, 2023 was a year of resumption and normalisation of relations at large. I am hopeful that benefits will be reaped in the coming years.

Macau has embarked on a mission to diversify its economy under the “1+4” formula. I would like to underline that in all these industries, Portugal has key players. Regarding ‘big health,’ we can already see that through Portuguese companies operating here, such as Hovione or GloballMed, in the IT sector where we have important incubators with a competitive innovation ecosystem, and also in the integrated leisure and conventions sector, an area where Portugal is highly developed as well. We can, therefore, see obvious opportunities for companies hailing from Portugal in the context of Macau’s drive for economic diversification.

Considering Macau’s specific conditions, including the push towards diversification and the Sino-Lusophone platform, the fact that I was a Special Envoy for Climate Affairs of the Portuguese Ministry of Foreign Affairs and the main organiser of the second UN Ocean Conference, and also bearing in mind the new terms of the gaming concessions which mandate companies to invest a considerable sum of money in innovation, and also taking into account the proximity to the Hong Kong Stock Exchange and the Greater Bay Area, all of this led me to believe that under the Paris Agreement taking action on ocean affairs is absolutely indispensable, and China will certainly speed up involvement in the blue economy. For me, it seemed obvious that we have the suitable conditions for Macau to be one of the candidate cities in the GBA to set up a blue hub.

With that in mind, I worked with Portugal’s blue economy platform Forum Oceano on a proposal. This is something that I strongly believe in: We can have plenty of opportunities for cross investments between China and Portugal, business and scientific partnerships, and creating value and employment based on innovation. This is something also closely linked with the “1+4” strategy.

Regarding the Greater Bay Area and more specifically Henqin, what opportunities do you anticipate for Portugal and Portuguese companies in the neighbouring In-depth Cooperation Zone and the wider region?

A.L. – I would first note that Macau authorities promote a territory that is not located under the jurisdiction of Macau but rather in the Guangdong province’s jurisdiction. This poses a small difficulty for me as I am not accredited in Guangdong province, which is under my colleague, the Consul General in Guangzhou.

Certainly, being located just across the river, I pay close attention to the process, as there is a continuous message of promoting investment in Henqin. I hold a pragmatic approach to this. If we are talking about attracting investment, I want to listen to investors as they are the ones who will assess the conditions and advantages. I am paying close attention to the In-depth Cooperation Zone, which I understand is a pilot project that is very interesting. As a representative of Portugal, I am mostly focused on how this can be translated into practical terms for companies investing in Hengqin.

I believe Macau has the conditions and potential to continue to host investment from companies, particularly non-industrial firms that are not labour-intensive and do not require much space. For many service industries, including within the blue economy, namely high-tech projects, I believe Macau can host more companies but it probably needs to look into the legal regime for foreigners to stay and work here to attract talents and manpower in general. It seems to me, and I am not the only one saying it, that the regime is not especially attractive, particularly the blue card system and the residency permit system. I believe these regimes could be more favourable and open. For instance, I have seen in Hong Kong a significant effort over the past months to attract many people from abroad.

You mentioned the residency permit system, and this leads to an issue that generated some controversy in the past few months: Macau authorities’ changes to the residency permit system (for granting Macau Non-Permanent Resident ID Card) for Portuguese nationals without a prior link with the city. Are you worried about this? Can you share with us the outcome of the dialogue you initiated with the SAR Government on this matter?

A.L. – I have been avoiding answering this question because there is an ongoing dialogue with the SAR Government on the legal regime related to the entry and staying of Portuguese nationals who are not eligible to be permanent residents of the SAR under Article 24 of the Basic Law [concerning criteria for holding the status of Macau SAR Resident]. It is of paramount importance to frame the issue this way because I have read a lot of things, and I opted not to comment on it because it is my understanding that when one is participating in conversations or negotiations with authorities, it is advisable to respect the customary rules, and it’s a matter of common sense that you don’t negotiate these issues by discussing them publicly. Therefore, I will not be doing it. I will only say that conversations continue, which means that they haven’t concluded.

There was a recent positive indication by local authorities. Within the framework of the new Talent Attraction Legal regime (Law 7/2023) and the publication of criteria for assessing applications, there was a positive indication whereby the Portuguese language is an asset.

Without going into further details, I would like to clarify that this is a problem for a small group within the Portuguese community. We are talking about those who want to settle in Macau, not those who are already living here. It is a small figure, and based on what I just said, I would like it to grow bigger. Not because of any privilege for Portuguese or Portugal per se, just because. Portugal no longer administers Macau. The Basic Law is crystal clear on this issue. However, one should also note that for some reason, Article 24 of the Basic Law spells out Chinese and Portuguese nationals and others going beyond referring to Chinese nationals and others. This was not a distraction and it is not irrelevant.

However, I do not wish to be focusing that much on the past, which I cherish and respect, but mostly on the future and the path towards economic diversification, because I believe Portuguese citizens can play an important role. Portuguese nationals are well-prepared, educated, law-abiding communities everywhere where they settle around the world, and we always integrate very well in the hosting countries. We all know in Macau that the Portuguese community and citizens have been adding value and are capable and ready to further contribute to Macau’s future.

 Considering all of this, I found the change [in the implementation of residency permits] to be strange. I do not question its legality. It is unquestionably legal. Nothing that the SAR authorities did is against the Basic Law or the Sino-Portuguese Joint Declaration.

Now, I did hold some doubts over the timing and rationale, in the framework of the mutual interests of the Macau SAR, Portugal and China, and I have been expressing our views in closed-door meetings. I believe we can expect positive outcomes in the sense that we truly have an official stance from local and central authorities of enhancing relations with Portuguese Speaking Countries. Now, I also believe we need to have a reasonable approach to these measures and bear in mind that these conversations are carried out in the context of absolute respect for Chinese sovereignty and the Basic Law, which was promulgated by the National People’s Congress of the People’s Republic of China (PRC) and has to be in line with the PRC’s Constitution.

Several voices in the community have noted a perceived contradiction between words and deeds regarding the role and importance of the Portuguese community and certain measures taken by the SAR authorities. What is your view on this?

A.L. – The Consul General of Portugal can only address two focal points of this issue: Firstly, if what is done is in-line with the Joint Declaration between Portugal and China. In this we are entitled to have a say. The Basic Law is the outcome of the preparatory works related to the Joint Declaration and was approved while Portugal still administered Macau. And the only note of concern I have regards Article 9  of the Basic Law [the article states: “In addition to the Chinese language, Portuguese may also be used by the executive, legislative and judiciary authorities of the Macau Special Administrative Region. Portuguese is also an official language of the Macau SAR”].

Under this provision, any individual should be able to address a public department (within the executive, legislative, or judicial branches) and use the Portuguese language, receiving a reply in Portuguese in all occasions. And we are aware that this is not always effectively being observed.

For example, I am told that there is a difference in this respect in the courts, between crime and civil procedures.

These matters are noticeable in our daily interactions. However one should note that this issue is not new.

The main issue is: which measures and what is the priority given by local authorities to Portuguese language? And it appears that there is an effort to prioritise the Portuguese language, with announced measures that, once implemented, will hopefully substantially increase its use and proficiency in the SAR among local residents, students, officials, and civil servants.

The other focal issue is the obligation we have to assess if there is discrimination in treatment between Portuguese individuals without a Macau SAR Resident ID card and other foreigners in Macau. I do not see evidence of negative discrimination against Portuguese nationals. On the contrary, there are many signs of goodwill from the authorities.

Research studies on Macau’s Portuguese community have signalled a sense of ‘orphanhood’ regarding Lisbon’s lack of focus and attention after the handover and in recent years. How do you perceive this quasi-existential question? What can be done to bridge this gap?

A.L. – The complaint about Lisbon’s lack of attention is a common criticism among millions of overseas Portuguese. We face human resource limitations here, and my colleagues around the world encounter similar challenges. We would like to have more resources to provide better services. That would be a way to close the gap and the feeling of distance.

Regarding government official visits, the last time we had ministers visiting Macau was in 2019. Since the post-pandemic reopening almost a year ago, there has been no visit at that level, let alone at the head-of-government level. Will we see visits by ministers or the prime minister to Macau in 2024?

A.L. – We had three Secretaries of State visiting Macau this year, and recently we had a visit from the Minister of Science and Technology to mainland China. I would stress that the political presence of Portuguese officials has probably been the strongest of any EU member state in the Greater Bay Area. One should note that Secretaries of State are of the level of vice-ministers. Here in Macau, we had three members of the Government visiting the SAR in 2023, paving the way for future projects. We were planning to hold a Joint Committee Meeting in early 2024 at the ministerial level, but with the current political situation in Portugal, we don’t know yet what the next Government will decide. In any case, there is continuity in the state’s foreign affairs regardless of the governments.

Next year, the Forum Macau’s Sixth Ministerial Conference is finally slated to be held in Macau, most likely in the first half of the year. How relevant is this, and what is Portugal’s view on the Forum’s development?

A.L. – Portugal attaches great importance to the Forum Macau and has actively participated in the works of this organization over the past 20 years. Having said this, there is a need to ‘walk the talk.’ This is something being followed up by Portugal’s Embassy in Beijing. The time has come to enhance the capacity to approve projects in a more inclusive approach. The preparation of the Action Plan for the Sixth Ministerial Conference is an indicator of China and Lusophone countries’ approaches, namely whether we are all willing to evolve towards a more inclusive and effective process. The Forum Macau is an example of an organization that is what its member parties want it to be.

2024 marks the 25^th anniversary of the Macau handover. How are you anticipating the celebrations?

A.L. – Yes we are looking into it. It is also the 50^th anniversary of the April 25 [Carnation Revolution], the 500 hundred years of Camões and the 45^th anniversary of establishment of diplomatic ties between Portugal and the PRC.

We believe the handover is something to be celebrated. After centuries of mutually beneficial and generally peaceful co-existence, two sovereign nations willingly decided, without external pressure, to agree on this handover of administration. In general, we, Portuguese, have all reasons to feel proud for what we left in Macau and the path and development since 1999. The format of this celebration will naturally be decided by the SAR and Central authorities. In what they see as fit, Portugal and the Consulate are open and totally willing to contribute and be part of this celebration.

In addition to Macau, you also serve as the Consul General of Portugal accredited in Hong Kong. Can you share insights into your activities and tasks in Hong Kong? What opportunities lie ahead as Hong Kong embarks on a process aimed at attracting investment and professionals after the pandemic?

A.L. – I intend to maintain my focus on Hong Kong in 2024. Alongside the two informal advisory groups on economic affairs and cultural and academic affairs that I established; I am creating a similar group dedicated to Hong Kong. This city holds significant importance for several reasons. Firstly, we have a considerable number of Portuguese nationals living there. Secondly, it remains a major global financial and business hub, boasting a deep-water harbour that ranks among the top ten container ports globally. In the post-pandemic period, Hong Kong is evidently keen on making up for lost time by stimulating economic growth, welcoming new companies, and attracting foreign professionals.

When I mention Macau as an incubation hub with capital and know-how, the same applies to Hong Kong on a larger scale. I believe that relations between Portugal and Hong Kong are below their potential across the board. Portugal’s trade relations with both Macau and Hong Kong fall short of their potential. We don’t want to miss this opportunity amid Hong Kong’s rapid re-emergence for Portuguese companies.   

Macau Business Editorial |December 2023 | By José Carlos Matias – Director 

What a difference a year makes. Last year, just as we were finally glimpsing the light at the end of the ‘zero-COVID’ tunnel, there was a sudden – somewhat unexpected but absolutely necessary and overdue – departure from pandemic restrictions. We all tend to somehow bury that three-year period in our memory – suspended as a sort of alternative timeline – and then bridge from late 2019 straight to early 2023.

But we all know it’s not that simple. Unsurprisingly, we were never going to emerge from those years unscathed, coinciding as they did with heightened geopolitical tensions globally and transformations in the SARs internally.

Nevertheless, as those who refused to hear the mantra of ‘the end is nigh’ stressed, ‘We will always have Macau,’ and whoever is long on Macau reaps benefits. Despite lingering problems, what we have witnessed in 2023 conspicuously validates that sentiment.

Still, no matter how unique this place is, we do not live in a bubble. The SAR is undoubtedly impacted by domestic, national and global developments.

The fourth quarter of the year has brought an important reminder that global interdependence mandates a return to a managed (cooperation and rivalry) model that ‘sets the floor’ for relations between the two top powerhouses of our era – China and the United States – as indicated when the leaders of both countries met in mid-November. A few days earlier, the visit by Australia’s Prime Minister to China embodied a much-welcomed change of tone and substance in relations between Canberra and Beijing.

While thorny issues remain, the prospect of a ‘stabilizer’ is prerequisite to finding a way forward. Still, we all know that risks loom large, and in that respect, the world in 2024 is poised for pivotal political events, among them January’s elections in Taiwan, the European Parliament elections in June and the US presidential vote in November. All of this will take place against the backdrop of ongoing armed conflicts in Ukraine and the Middle East, with the engines of growth in the international economy struggling to gain steam. According to the International Monetary Fund (IMF), the average growth rate of advanced economies is forecast to slow to 1.4 per cent in 2024.

Macau, with its idiosyncratic economic structure, is set to continue its stellar expansion of gross domestic product (GDP): from 74.4 per cent estimated for this year to 27.2 per cent in 2024. It’s worth noting, however, that if the IMF’s prediction is met, the city will still only have recovered to 88 per cent of pre-pandemic (2019) levels by next year.

As we are aware, the lion’s share of the SAR’s GDP is related to exports of services: gaming and tourism. In this respect, the recovery trend seems sound, though one should keep an eye on the pace of economic growth in the region’s major source market of visitors, mainland China, and how disposable income will expand alongside the approach to capital (out)flows. The impact of the recent stimulus measures adopted by the Central Government and the prospect of additional, perhaps bolder, moves in early 2024 will determine not only China’s growth rate but also how it will contribute to offsetting the sluggish performance of advanced economies. Macau would obviously benefit from the spillover effect of a larger-scale stimulus package, as seen in the aftermath of the 2008 financial crisis. In any case, the spectre of a mammoth hot money bundle like the one we saw back then understandably haunts policymakers.

With the local economy in sound recovery mode, the case for a more expansionary budget may seem counterintuitive, but we would call it necessary. In that respect, while it was wise and key to continue key social welfare policies and resume others, including a salary hike for civil servants, maintaining the pandemic-era cuts to public service expenditure is questionable and out of sync. One mustn’t forget that procurement of goods and services by the Administration can be critical for local SMEs, which deserve to be stimulated alongside an integrated – not piecemeal – set of measures. It would be wrong and a mistake to sweep these woes under the rug.

Being the last year of Ho Iat Seng’s first term and a year filled with momentous milestones, namely the Chief Executive election, the appointment of high-ranking officials for a new term, the 25th anniversary of the establishment of the Macau SAR, and the sixth Forum Macau ministerial conference, effective management of time and allocation of resources in 2024 will be key to making up for the lost time during the pandemic and meeting important development targets in the SAR and in Hengqin’s In-depth Cooperation Zone, which is set to take a more centre stage position in the concrete steps and results. Hopefully, all in time for the anticipated visit of President Xi Jinping, expected to be held around December 19/20.

A year can make a difference, but time flies in the blink of an eye.

作為新成立的保誠保險澳門分行總經理，馬竹豪看到澳門人壽保險業務的巨大潛力。他表示，這家擁有175年歷史的英國跨國企業將配合特區的多元化步伐，著眼於橫琴，為澳門市場注入創新元素。

文：馬天龍

國際保險服務集團保誠集團（Prudential plc）七月初在澳門開設了分行，為企業寫下新的里程碑。這家來自英國的保險企業將目光投向大灣區各市。在接受採訪時，保誠保險（澳門分行）總經理馬竹豪看好本地業務發展，因為澳門居民“保險和保障嚴重不足”。隨著澳門金融體系法律制度的修訂和升級，他認為新型和創新金融服務領域前景光明，尤其是人壽和健康保險、資產管理及信託保險的未來發展。放眼澳門以外，集團計劃在橫琴設立售後服務中心。

1991年，馬竹豪在加拿大開始了人壽保險職業生涯，至今已擁有超過30年專業經驗。他於2001年移居澳門並成為了當時本地最大型人壽保險企業的負責人，2020年退休後，獲邀並於2021年正式成為保誠集團的一份子，負責執照申請事宜。2023年，保誠澳門分行成立，他出任分行總經理。

身為業內的資深高級管理人員，請與我們分享您作為保誠澳門首任總經理的使命、觀點與挑戰。

馬竹豪–讓正確的人在正確的時間以正確的方式做正確的事情，是每家新成立企業必須面對的挑戰。在過去數月裡，我們在招聘員工的同時，也著手尋找合適的中介人。受澳門社區和保險業規模限制，本地可用的人才庫存實在有限。這是自我們啟動這一項目數月以來遭遇的一大挑戰。展望未來，我相信我們將能夠為每個職位找到合適的人選，推動公司業務向前發展，但目前仍需一段時間。

我們的首要任務是為本地人才創造自我發展的平台。作為一家國際企業，我們能夠為員工提供許多獲得國際經驗的機會。我們可以為員工提供培訓，甚至可以將他們派往其他市場獲得國際經驗，之後再回來為澳門經濟發展作貢獻。這就是我們的計劃。

保誠是一家擁有175年歷史的國際企業，在澳門特別行政區開設分行的意義何在？

馬竹豪–保誠集團於175年前（1848年）在英國創立，約一百年前開始在亞洲開展業務，59年前在香港設立分支機構。

我們擁有悠久歷史，香港和澳門是大灣區“9+2”城市群的兩大關鍵組成。在進駐澳門之前，我們的業務就已覆蓋大灣區其他10座城市。現在，澳門分行協助我們完成了在大灣區的版圖佈局。

這就是背景。促使保誠來到澳門的原因主要有三個。首先，我們看到澳門居民的保障缺口很大。根據Swiss Re Institute公開的2021年數據，澳門的壽險滲透率為6.4%。保險深度等於“總保費收入／GDP”。在香港，這一數字接近18%。有見及此，我們看到澳門居民的保險和保障嚴重不足，我們希望盡力協助本地居民不但獲得正確的保障，還是滿足其需要的足夠保障。這就是我們的使命之一——幫助盡可能多的本地居民獲得保障。

二是對接政府施政策略，即“1+4”多元發展策略，即以綜合旅遊休閒業為主軸，帶領大健康、現代金融、創新科技和會展及文化體育四大產業發展。

事實上，我們可以在這四大產業佔一席之地。

如何做？

馬竹豪–在大健康保險方面，保險絕對能夠扮演重要角色。憑藉保誠在健康險領域的豐富經驗與資深地位，必將為大健康產業的發展作出貢獻。對現代金融來說，人壽保險是一個頗有歷史的領域。那麼，如何使其現代化呢？以一種現代的方式管理舊式企業，我們正在朝這一方向邁進。我們不僅僅是一家擁有175年經驗的企業，還在管理舊業務時加入許多創新的思維，這將是保誠對財富管理等現代金融領域的貢獻。我們能做到這一點，也願意向本地債券市場投入部分儲備，為澳門特區債券市場發展注入動力。

無疑，我們將利用高新科技增強客戶體驗、員工體驗和中介人體驗。我們為此採用了諸多新技術，人工智慧（AI）便是其一。我們可謂是人工智慧領域的強者。

就會展及文化體育行業而言，組織中介人會議是經營中介人機構的重要特徵之一，我們有能力協助本地會展行業向上發展。在文化方面，我們贊助了許多文化活動，包括音樂會和藝術活動。

還有第三個原因？

馬竹豪–是的。第三個原因，正如我剛才所說，澳門是大灣區的重要組成部分。

澳門這個彈丸之地已有12家公司提供人壽保險服務。繼保誠在此設營業網點後，已增加至 13家了。這是一個擁擠的市場嗎？

馬竹豪–正如我之前提到，澳門居民存在著巨大的保障缺口。滲透率僅6.4%，上升潛力龐大。

因此，這個擁有約70萬人口的市場有13家企業提供同類型服務，一點也不擁擠，尤其是在仍有保險需求的情況下，市場仍需要引入更合適的產品。

澳門剛剛通過了新的金融體系法。這一舉措有何相關？

馬竹豪–這是重要的一步。新法的含義或影響仍有待評估。我們的律師對此已知之甚詳，這必將推動金融服務業的成長。現行法規已有數十年歷史。當政府希望在債券市場已經到位的情況下發展金融以外的業務時，我們更需要革新系統和更新立法框架以維持運作。事實亦是如此，這是一件好事。

澳門也通過了新的信託法。 這是否也是一個重大發展？

馬竹豪–是的，我們已經在這方面努力了。我們看到了協助客戶設立保險信託的巨大潛力，讓客戶得以將部分資產轉移至心目中的市場，以更可控的方式將財富分配給下一代。

信託法是一大進步。傳統上，大陸法體制不存在“信託”的概念，這是一個普通法的概念。

您對普通法上的管轄非常熟悉。

馬竹豪–最初，人們只是被問到如何在大陸法體制內建立信託法？但這實現了。儘管律師仍努力使信託規定與民法典和商法典等其他法律法規相契合，但最終還是成功了。

這令我想到了更廣泛的財富管理問題，這是澳門乃至大灣區的趨勢。

馬竹豪–保誠在財富管理領域擁有豐富經驗。我們在香港設有專門的財富管理部門，一旦時機成熟，在天時地利之時，我們便會把財富管理的團隊帶到澳門，與保險業務團隊攜手合作，為客戶提供更貼心的服務。

保誠在大灣區11座城市設立了據點。你提到與香港的合作；那些位於大灣區內地城市的分行狀況如何？您如何看待澳門分行與內地鄰近分行之間的合作？

馬竹豪–保誠在中國境內是合資企業，但在海外地區以獨資企業形式存在。所以我們需要和合資夥伴合作，透過中國境內的分支機構開展業務。我們看到該領域的巨大發展潛力，以大灣區為例，人口約8,500至8,600萬，澳門則有60至70萬。

當然，我們不會將這8,500至8,600萬人口視作首要目標，我們將首先開拓橫琴深度合作區，之後才逐步擴展至大灣區其他地方。

對於橫琴來說，先行方案和長遠計劃可能是什麼？

馬竹豪–我認為先行方案是橫琴售後服務中心，這一設想即將成真。澳門金融管理局（AMCM）正努力推動這一方案的開展，相信澳門所有保險公司都將成為當中的一份子。

我們正著手制定具體的運作方案、跨境傳輸客戶資料的方式，以及解決此類問題的詳細技術資訊。但在深合區，我認為售後服務中心的設立是先行方案。香港企業在前海設立的分支機構也將看到類似的發展。許多內地居民在香港和澳門購買了保單，若我們能到當地設立售後服務中心，定將對客戶帶來益處。因此，這將是向前邁出的第一步。展望未來，我認為港澳兩地的保險行業都在爭取到大灣區進行實際銷售，但仍有許多技術問題有待解決。 單就牌照的審批，就存在不同的立法要求和不同的監管要求。這些都必須解決。但若行業要將市場拓展至這60萬至70萬人口以外的地區，橫琴是必經之路。

您對來年、五年或十年的市場佔有率有什麼目標嗎？

馬竹豪–我們是上市公司，無法提供前瞻性預測數據。從長遠來看，五年後的我們將努力發展專業中人團隊，希望能找到500名專業中介人，這為我們進一步發展奠定堅實的基礎。提到中介人，我們向自己和金管局承諾，不會騷擾競爭對手，不會挖角，我們將自行招聘，透過培訓將旗下中介人培養成保誠團隊的一員。我們影響市場，但不會擾亂市場，“擾亂”的意思負面。現在，我們透過嶄新的方式開展業務並引入創新產品影響市場。

 您對澳門宏觀經濟前景有何看法？

馬竹豪–我們看好澳門市場，這裡地靠大灣區，並且在過去兩、三年間，我們見證了人壽保險市場的茁壯成長。正如我所說，澳門居民的保障不足。在澳門生活20多年，讓我見證了中產階級的壯大，大多數本地居民屬於這個階層。他們需要人壽保險、健康保險、投資和退休計劃。這裡需求量龐大。

The General manager of newly established Prudential Macau sees plenty of potential for growth in Macau’s life insurance sector. Chris Ma says the British 175-year-old multinational will bring innovation to the local market in line with the city’s push for diversification and with an eye on neighbouring Hengqin

Global insurance firm Prudential plc opened its Macau branch in early July marking a milestone moment for the British insurer which is now present in all Greater Bay Area cities. In an interview with Macau Business and Business Intelligence, Prudential Macau’s general manager Chris Ma share an upbeat outlook on the region’s business development, as Macau residents “are grossly underinsurance and underprotected”. With the city adopting an updated and upgraded financial system act, he sees good prospects for new and innovative financial services, with a focus on life and health insurance, asset management and the future development of trust insurance. Looking beyond Macau, the company eyes opening an after-sales service centre in Hengqin.

Chris Ma has had more than 30 years of experience in the life insurance business, starting his career in Canada in 1991.  He relocated to Macau in 2001 to head the then largest life insurance company here. He retired in 2020, and was invited out from retirement in 2021 to join Prudential to work on the licensing application process, and to be the General Manager in 2023 when the Macau Branch was established. 

You are a well-seasoned top executive in this industry. Tell us about this mission, views and challenges as the inaugural general manager of Prudential Macau.

Chris Ma – For any startup company, the challenge is to get the right people to do the right thing at the right time and in the right way. So, in the past few months, we started recruiting not only staff but also agents. Given the small [sized] community and insurance industry in Macau, the talent pool for us to source our people is limited. So that’s one big challenge that we’ve faced in the past few months since starting this business. I believe going forward, we will be able to have the right people in the right positions to help bring our business forward. But it takes us some time.

Our top priority is to give opportunities to local talents to develop themselves. We are an international company, so we offer a lot of opportunities for our staff to gain international experience. We could train them; we could even post them to other markets to gain international experience and then come back to help Macau develop the economy. That’s our plan.

Prudential is a 175-year-old global company. What’s the significance of opening a branch in the Macau SAR?

C.M. – Prudential started 175 years ago, in 1848, in the United Kingdom, then started its operations in Asia a hundred years ago, and then opened in Hong Kong 59 years ago.

So we have a long history, and Hong Kong and Macau are the two key components of the Greater Bay Area (GBA) the 9+2  cities.  We had a presence in all 10 others before Macau. So now  Macau completes our footprint in the GBA.

That’s the background. Now, there are three key reasons why we are here. First, we see that there is a big protection gap among Macau residents. According to a report by Swiss Re Institute concerning 2021 figures, Macau’s insurance penetration in Macau is only 6.4 per cent. Insurance penetration is calculated as total premium over GDP. In Hong Kong, that same figure is close to 18 per cent. Given those figures, we see that Macau residents are grossly underinsured and underprotected. We want to help as many as possible as we can local residents to get the right protections, the enough amount of protection that they need.

So that is one of our missions—to help as many local residents as possible get protected.

That’s one reason we are here. The second is to be aligned with the government’s administrative strategies, namely the “1+4” diversification strategy, one being tourism and the four others being big health, modern finance, high technology, MICE and cultural and creative industries.

In fact, we can have a role in all four of those.

How? 

C.M. –  On big health insurance, insurance definitely has a big role to play in big health. And given Prudential’s experience and position in the health insurance arena, we can definitely contribute towards the development of big health. On modern finance, life insurance is an old industry. So how modern can it be now? There is a modern way to manage an old business. So we are moving in that direction. We are more than a company with 175 years of experience. We use a lot of new thinking in managing our old business. So that will be our contribution towards modern finance, like wealth management. We can do that. We can also contribute to the development of the Macau bond market by investing part of our reserves in the local bond market.

It goes without saying that we engage high technology to enhance our customer experience, employee experience, and agency experience. So we use a lot of new technologies like Artificial Intelligence (AI). We are big in AI.

Concerning meetings, conventions, culture, and sports.  one of the key features of running an agency organisation is organising conventions for our agents. We will be able to help develop the MICE area in Macau. Regarding culture, we sponsor a lot of cultural activities, including concerts and arts.

And there’s a third reason. 

C.M. – Yes. The third reason is that, as I said earlier, Macau is an important component of the GBA.

In Macau, we already had 12 companies providing life insurance. With Prudential operating, it’s now 13. Is it a crowded place? 

C.M. – As I said earlier, there’s a huge protection gap among Macau residents. The penetration is only 6.4%, so there’s huge upside potential.

So with 13 players in the market of about 700,000 people, it’s not crowded at all, particularly when the need for insurance is still there. There is still demand for more appropriate products to be introduced into the market.

Macau has just adopted a new Financial System Act. How relevant is this step?

C.M. – It is an important step. We are still assessing the implications or impact of the new legislation. Our lawyers are already on top of it, but it will definitely help bring the financial services sector forward. The existing legislation was already decades old. Particularly when the government wants to develop more than finance with the bond market already in place, we need an updated system and an updated legislative framework for us to operate. Definitely. It is a good thing.

Macau also adopted a new trust law. Is it also a significant development? 

C.M. – Yes. We are already working on that. We see big potential in helping our customers set up insurance trusts so that they can have a more controlled way of distributing their wealth to their next generation by shifting some of their assets to markets that they desire.

 And the trust law is a big way forward. Traditionally, within the continental legal system, there’s no concept of trust. That is a common law concept.

You are pretty familiar with common law jurisdictions. 

C.M. – Initially, people were just asked, How can you build a trust law within a continental law system? But it works. Although lawyers are still working to align the trust stipulations with some of the other legislation, like the civil code and the commercial code, Eventually, it works out.

This leads me to the wider issue of wealth management. This is a trend in Macau and the wider Greater Bay Area. 

C.M. – We have a lot of experience in the wealth management area. We have a wealth management setup in Hong Kong. When the time is appropriate, suitable, we can bring the wealth management setup to Macau to work hand in hand with the insurance units to better serve our customers.

You have a foothold in every single one of the 11 GBA cities. You mentioned cooperation with Hong Kong; how about the branches in the mainland GBA cities? How do you foresee cooperation between the Macau unit and the neighbouring mainland units? 

C.M. – Prudential inside of China is a joint venture, but Prudential outside of mainland China is wholly owned. So we need to work with our joint venture partners in cooperation with branches within China. And we see big potential in that area. Of course, for example, in the GBA, there is a population of something like 85–86 million people, compared to Macau’s 600–700 thousand.

Of course, our first step will not be to target the 85/86 million. It will be the In-Depth Cooperation Zone (Hengqin) and then we will expand to the other GBA places.

Regarding Hengqin, what could be the first steps and then the longer-term approach? 

C.M. – I think the first thing that will happen, and that will happen before too long, is an after-sales service insurance service centre in Hengqin. The Monetary Authority of Macau (AMCM) is driving that initiative forward.

And I believe all insurers in Macau will participate.

We’re working out details on how we’re going to work, how we’re going to transfer customer data across the border, and those kinds of technical issues. But the first thing that I see in the In-Depth Cooperation Zone is the establishment of that after-sales service centre. The same is true for Hong Kong companies establishing [these centres] in Qianhai. A lot of mainland Chinese have bought policies in Hong Kong and Macau. So if we can have an after-sales service centre there, it will help them a lot. So that will be the first step forward, and moving forward, I think both the industry in Hong Kong and in Macau are lobbying for actual sales in the GBA. So, there are quite a lot of technical issues to be worked out. There are different legislative requirements and different regulatory requirements for licensing. Those have to be worked out. But for the industries to develop beyond the 600,000, 700,000 people here is the step into Hengqin.

Have you any targets for market share in the coming year, or five or ten years down the road? 

C.M. – We are a listed company, and we cannot provide the forward-looking forecast figures. For the longer term, five years down the road, we are looking at 500 professional agents. That will give us a solid foundation to further develop. Talking about agents, we have a commitment to ourselves and to AMCM that we will not disturb our competitors. We will not go after the agents. We will recruit our agents, train them, and groom them organically on our own. We disrupt the markets, but we do not disturb the markets. Now, disturb is the negative word. Now, we disrupt the market by doing business in a new way and bringing in innovative products.

What’s your take on Macau’s macroeconomic outlook? 

C.M. – We are very positive about the Macau market, given its proximity to the GBA, and in the past two to three years, we have witnessed significant growth in the life insurance market. And as I said, Macau’s market is still underinsured. One significant phenomenon I’ve observed in Macau in the 20 odd years that I’ve been here is the growth of the middle class. A large segment of Macau citizens are in that class, the middle class. They are needed for life insurance, health insurance, investment, and retirement planning. The demand is huge.

貿促局主席余雨生強調，博彩特許經營商承諾的非博彩投資計劃、政府提出的“1+4”多元化策略，以及橫琴發展都是關鍵的資產。葡語國家平台及會展行業的發展同樣被提上了日程。

文：馬天龍

攝影：張金加

金秋十月，澳門迎來了會展活動和貿易展會的旺季。今年，澳門貿易投資促進局同期舉辦了三大年度經貿展：第一屆中國——葡語國家經貿博覽會（澳門）（C-PLPEX）、第二十八屆澳門國際貿易投資展覽會（MIF）及澳門國際品牌連鎖加盟展2023(2023MFE)。貿促局主席在接受本刊記者採訪時，分享了貿易展覽和會展行業的最新動態，以及當局最近的海外推廣任務。對於本地在博彩和旅遊業之外出現的新概念，他表示樂觀。社會的焦點轉移至大健康、現代金融、高新技術、會展商貿和文化體育等新興產業。這些行業的發展將有賴新的投資和內容。

余雨生還補充說，澳門、橫琴和大灣區組成的更廣泛經濟空間正逐步形成雛形，並吸引了世界的目光。

今年，我們同時舉辦了三大年度經貿展：MIF、MFE及由貿促局主辦的全新C-PLPEX。對於疫情後舉辦的首波貿易展，您有何評價？亮點是什麼？

余雨生 – 關於首屆C-PLPEX，我想強調的是這不僅僅是一個澳門舉辦的活動。這是在中國——葡語國家經貿合作論壇框架下開展的經貿盛會。中國商務部部長王文濤在去年4月舉行的中葡論壇部長級特別會議上提出支持澳門建設綜合服務平台，舉辦中國——葡語國家經貿博覽會（澳門）。時隔一年半多，第一屆C-PLPEX終於成為現實。

在規模方面，三展於澳門威尼斯人金光會展同期舉行，展覽場地首次橫跨四個展館，面積達37,000平方米，共設20個展區，共吸引了來自15個國家和地區參展商參展，也迎來了由中國內地和葡語國家的8位部長級官員率領的代表團。在內地方面，全國31個省、市、自治區中就有20個派出參展商到澳門。

第二個亮點是交易便利功能的完善。在四天展會期間，我們安排了約1,000場商業配對，較去年增加30%；安排101項簽約，同比增加8.6%。

 “1+4”適度多元發展策略備受關注。

余雨生 – 是的，第三個亮點是透過加強會展行業發展，助力城市的經濟多元化進程，以此作為對“1+4”適度多元發展策略的回應。會展並非單純的活動；是有內涵的。因此，會展業能夠帶動其他產業的成長。這是我們的使命。活動參與者也能夠感受到特區政府為推行“1+4”策略付出的努力，對新興產業更感興趣。配合那些以新興產業為主題的活動，提升人們到澳門參與這些活動的興趣。對新興產業而言，我們在某程度上要加強這些產業的“造血”功能。這意味著我們需要更多的新鮮血液和創新內容，並將其推向澳門市場，從而豐富行業的永續發展和生態系統。

關於招商引資，您將其描述為“新血”。自疫情結束，城市重新開放以來，貿促局今年在海外和內地執行了多項任務。請與我們分享，您迄今為止收到的反饋，以及您對潛在海外投資的期望。

余雨生 – 疫情過後，我們致力舉辦更多招商活動。步入2023年以來，我們以葡語國家、東盟國家及其他市場為目標，到當地開展多場推廣活動。我在此分享的反饋非常有趣。從境外投資者的角度來看，首先，他們清楚地認識中國內地是疫後時代的一個巨型市場，對澳門亦有了一定的認識。然而，按照他們最初的看法，澳門不過是一個規模較小的經濟實體，僅集中於旅遊業，土地空間有限。經過我們的推廣，他們了解到現在除了澳門，還有橫琴，這座島嶼的面積大約是澳門的三倍。澳門擁有了新的空間，橫琴也提出了一系列優惠政策。

他們對大灣區發展感興趣嗎？

余雨生 – 是的。他們對大灣區也興趣盎然。 中國市場龐大，擁有京津冀（北）、長三角（東）、大灣區（南）三大領先的經濟一體化區域。人們將大灣區視作一個整體，歡迎我們提供更多與其發展的信息，也很高興看到澳門是大灣區的核心城市之一，而且澳門與橫琴之間定下了專門的整合安排。因此，我們的推廣活動也就添加了疫情爆發前不曾出現的新元素。我們有“1+4”多元化策略及隨之而來的新機遇；我們有橫琴，這將是一個嶄新的投資空間。此外，我們也強調，本地六家博彩特許運營商作出的十年投資承諾，當中涉及約150億美元。透過這些新的規劃和項目，我們向投資者展現了在可預見的未來，澳門將擁有非常穩定的新投資。這對他們來說是非常鼓舞人心的。

我向投資者傳達的主要訊息是將澳門視作一個進入大灣區的平台。透過這個平台，參與大灣區的發展並利用那更廣闊的市場空間。我們能夠為其創造更多商業機會。我們擁有獨特的優勢，自由港地位、資本自由流動、稅制低且簡單。

您是否期待新興產業將吸引新的重大投資？哪一個產業最有可能率先騰飛？

余雨生 – 疫情期間，澳門經濟遭到重創。因此，城市生產總值大幅下降。然而，就貿促局發起的投資而言，已落實的項目均保持穩定。甚至有所盈餘。與貿促局有關的私人投資表現繼續保持穩定。另外，關於投資的查詢，即使在疫情期間，也保持穩定，有時甚至增加。不只關於澳門，也與橫琴和大灣區相關。例如，有企業告訴我，他們在大灣區11座城市中的10座設立了分支機構，唯獨澳門除外。他們認為有必要在澳門插上旗幟，以完成其在大灣區的整體佈局。

就期望而言，政府多個部門共同協調四大新興產業的發展，貿促局主管會展旅遊領域的發展。在這方面，去年我們在澳門舉辦的活動仍不足500場。今年，我們有信心實現在澳門舉辦超過1,000場活動的目標，與2022年相比，增幅超過100%。

2024年又如何？

余雨生 – 我們計劃明年將舉辦1,500場會展活動，增幅達50%，與2019年疫情爆發前的數字相當。需要強調的是，儘管我們現在提到恢復至疫情爆發前的水平，但從疫情數據來看，本地會展活動的組成也有所改善。我們談論的是兩種主要類型的活動，即會議和展覽，舉辦展覽是一個更複雜的過程，請務必將此納入考慮。就展覽數字而言，2022年錄得的數量超過了2019年的水平。這反映了活動組成的改善，因為展覽與投資之間的聯繫更加密切，並有效提升澳門在區域會展市場中的地位

在澳門和橫琴推行“一會展兩地”是當局正著手發展的新概念。您如何看待其發展？

余雨生 – 橫琴是澳門發展的一個關鍵元素。所以，我們在舉辦MICE活動時，總是加入更多橫琴元素，包括“一會展兩地”。今年上半年，我們已舉辦了九個類似活動；來到下半年，我們繼續迎來一系列活動。在MIF期間，我們舉辦了“一會展兩地”活動。我希望說明的是，對於活動參加者來說，這個概念也很有趣，十分便捷。對於遠道而來的活動參與者，他們不僅有機會前來澳門，還能夠到橫琴和大灣區。他們對此表示歡迎，因此，在今年的MIF和C-PLPEX期間，我們率領葡語國家代表團前往橫琴考察。

《商訊》2023年11月 | 總監之言 – 馬天龍

“缺乏計劃的目標，只能叫做願望，”法國著名作家Antoine de Saint-Exupéry在他的開創性中篇小說《Le Petit Prince(小王子)》中寫道。

值得慶幸的是，澳門總不乏具多重目標的計劃。從2021年9月印發的《橫琴建設粵澳深度合作區總體方案》、2021年12月公佈的《澳門特別行政區經濟和社會發展第二個五年規劃（2021-2025年）》，到正式推出不久的《澳門特別行政區經濟適度多元發展規劃（2024-2028年）》，所有這些規劃均瞄準一個關鍵的方向：擺脫對博彩業的依賴，打造更多元化的經濟結構，促進與橫琴和大灣區發展的銜接和協調，融入國家發展進程。

在新公佈的多元化發展藍圖中，“1+4”發展模式正式登上舞台中心：以整合和提升旅遊悠閒業為主，發展中醫藥大健康產業、現代金融業、高新技術產業、會展商貿及文化體育等四大“新興”產業為輔。當考慮兩個主要總體目標，即降低博彩業在整體經濟中的比重，以及減少政府財政收入對博彩稅的依賴。當局在2024年至2028年的規劃文件中提出了一個宏偉的目標：2028年將博彩業佔本地生產總值由2019 年的51%降至40%。然而，在減少對博彩收入依賴方面，文件僅指出“較 2019 年佔比低”。如何理解這一描述？如何解決這種明顯的不和諧？

將當前“經常收入對幸運博彩收入的依賴度”降低至低於2019年84.8%的水平，這不僅是一個含糊的目標，也是一個容易實現的目標。文件未有道明的是，特區財政對博彩稅的依賴於2019年達到了歷年來的最高水準（自財政局2014年開始透過線上平台公開詳細的公共財政資訊以來）。這表明當局在量化這一目標時採取了謹慎的態度。

這或許可以理解，因為博彩業的稅收有別於其他行業。然而，這表明人們對澳門特別行政區減少財政收入對博彩稅依賴的信心不足。

另一方面，將非博彩業比重從疫情前的49%（2019年前）增加到60%，這似乎是一個更大膽的目標。能夠實現嗎？這個夢想或許未算匪夷所思，卻取決於許多因素。例如，2016年的非博彩業比重上升至53.6%。

在很大程度上，該藍圖為“新興產業”設定的目標也相當模糊，選擇將其表述為“有所增加”。這種相當“定性”的語氣確實為實現目標提供了空間，但對於那些渴望制定一個全面且列明具體目標的計劃的人來說，這令人失望。

然而，也有數個重要的例外情況顯示了信心的增強，例如高等教育課程數量、會展活動數量、獲國際認可會展活動數量和參與活動的專業人士數量的增加。 其他令人鼓舞的目標還涉及高新科技產業，政府承諾累計投入澳門幣50億元用於科技研發。對加強聯繫並吸引海外（即葡萄牙和巴西）新創公司和創新公司的關注無疑是一項前瞻性政策，能夠充實澳門的中葡平台，為澳門和橫琴帶來新的價值。

在這個大背景下，大家都能明白，來自中央政府的支持絕對至關重要。根據最新的數據，博彩業恢復到健康水平是落實所有這些財政資源和投資的關鍵前提。

我們已多次重複，政府官員也曾提及，但請允許我們再次重申：將願望轉化為切實目標，務實、現實、靈活、明智的公共政策和政府引導是重要前提，以市場為導向的態度則是重中之重。需要補充的是：要避免一廂情願、狂妄自大。

總而言之，除了遠見計劃及定量和定性目標之外，證據在於實踐。

準備好出發了嗎？“適度”多元化列車即將駛出。目的地：2028年。

最美好的祝愿！

跳出條框

除了具體的“1+4”框架外，還應以雄心勃勃的態度，推行吸引外國直接投資的整體規劃。進一步完善投資法律法規，再加上提升管理人員和專業人士的地位（超出新設立的人才引進計劃），將大有裨益。就此而言，專家學者在葡中工商會最近舉辦的論壇上就澳門打造跨國公司亞洲總部樞紐提出的建議值得關注。

李克強

2007年10月，我在北京工作，報道中共十七大，第一次有機會近距離觀察李克強。當時，作為被提拔為中共政治局常委的第五代領導人，習近平和李克強吸引了人們的目光。不久後，李克強就任國務院副總理，並於2013年擔任國務院總理，他擔任該職位的時間長達10年，直到今年3月。2016年，李克勤到澳門主持中葡論壇部長級會議開幕，這是我第二次近距離觀察這位領導人。在為期三天的特區之行期間，李克勤公佈了支持澳門經濟和中葡樞紐功能的多項政策和措施，並參觀了澳門的旅遊熱點。這位性格溫和的總理首先接受了成為法律專家的培訓，隨後獲得了經濟學博士學位。官方在訃聞中強調了他的成就及對國家的貢獻，“堅持社會主義市場經濟改革方向，處理好政府和市場的關係”。

“黃河長江不會倒流”是他晚年的名言之一，寓意“中國開放還要繼續往前推進”。

10月下旬，他忽然離世，享年68歲，令人震驚。李克強為國家公共服務和全球發展的貢獻將永垂不朽。

Non-gaming investment plans by the casino concessionaires, “1+4” diversification strategy and Henqgin development are key assets, stresses  IPIM president U U Sang. The Portuguese-speaking countries’ platform and MICE development also rank high on the agenda

Photos by Cheong Kam Ka

October is a high time for the city’s MICE (Meetings, Incentives, Conferences, and Exhibitions) and trade show scene. This year, the Macao Trade and Investment Promotion Institute (IPIM) organised three concurrent expos: the 1st China-Portuguese-Speaking Countries Economic and Trade Expo (Macao) (1st C-PLPEX), the 28th Macao International Trade and Investment Fair (MIF), and the Macao Franchise Expo 2023 (2023MFE). In an interview about the trade shows, MICE, and the latest promotion missions carried out overseas, the president of IPIM expressed optimism regarding a new perception that is emerging of Macau beyond gaming and tourism. The focus is shifting towards emerging industries such as traditional Chinese medicine and big health, modern finance, new and high technologies, conventions and exhibitions, and culture and sports. New investment and content will be needed to foster the development of these sectors.

U U Sang also added that the perception of Macau as part of a wider economic space involving Hengqin and the Greater Bay Area is taking shape internationally.

This year, we had three major fairs taking place simultaneously: MIF, MFE, and the new C-PLPEX, organised by IPIM. What’s your assessment and highlight of the first post-pandemic editions of these trade shows?

U. U. S. – I would like to emphasise that for the C-PLPEX, it is not just a Macau event; it is under the framework of the Forum for Economic Trade Cooperation between China and the Portuguese-speaking Countries. In the Extraordinary Ministerial Conference of the Forum held in April last year, China’s Minister of Commerce, Mr. Wang Wentao, announced to have a China Portuguese Speaking Countries Economic Expo, and after more than one and a half years, we implemented the first edition. Regarding the scale, it is the first time that the three exhibitions have spanned four exhibition halls, covering a total area of 37,000 square metres, with 20 exhibition areas at the Venetian Macao Expo. The exhibitions attracted on-site exhibitors from 15 countries and regions and delegations led by eight ministerial officials from Mainland China and Portuguese-speaking countries. From mainland China, we also had exhibitors from 20 out of the 31 provinces, municipalities, and autonomous regions.

A second highlight I would like to point out is the improvement of the transaction facilitation function. We had more than 1,000 business matching talks arranged during the four days, an increase of 30 per cent over last year. For contract signing, we reached 101, up by 8.6 per cent.

There was plenty of focus on the “1+4” economic diversification strategy.  

U. U. S. – Yes, the third highlight is the enhancement on facilitating economic diversification through conventions and exhibitions following the “1+4” diversification strategy. A MICE event is not only a MICE event; it has content. Therefore, the MICE industry can facilitate the development of other industries. It is our mission. And visitors can also learn that Macau is striving to follow the “1+4” strategy and has more interest in the emerging industries. And with events focused on those emerging industries, it will raise their interest in coming to Macau and attending those events. For the emerging industries, we have, at some point, to strengthen the so-called ‘blood creation’ function of these industries. That means we need more new blood and new content to enter our Macau market, which enriches our sustainability and ecosystem.

Regarding attracting investment, you were talking about new blood. IPIM has been carrying out a number of missions overseas and on the mainland this year since the post-pandemic reopening. Tell us about the feedback you have received so far and your expectations for prospective foreign investment.

U. U. S. – After the pandemic, we strived to have more investment promotion events. From the beginning of this year, we went to Portuguese-speaking Countries, ASEAN countries and other markets to carry out our promotional activities. The feedback I would like to highlight is very interesting. From the point of view of the foreign investors, firstly, after the pandemic, they are perfectly aware that the mainland Chinese market is a huge market, and they have some sense regarding Macau. However, originally, according to their idea, Macau was a relatively small economic entity just concentrated in the tourism industry, with a limitation on land space. After our promotion, they learned that now it’s not only Macau. We have Hengqin, with an area approximately three times the area of Macau. There’s a new space for Macau, and Hengqin has a series of preferential policies there.

Are they also interested in the Greater Bay Area development? 

U. U. S. – Yes. They are also very interested in the Greater Bay Area. China is such a massive market with three key advanced major regional economic integrated areas: Beijing-Tianjin-Hebei Region (north), Yangtze River Delta Area (east), andthe Greater Bay Area(south). They look at the GBA as a whole. They welcome us providing more information on the development of the Greater Bay Area, and they are very happy to see that Macau is one of the core cities of the GBA and that Macau has a very special integration arrangement with Henqqin. Therefore, for our promotion, compared to the pre-pandemic events, we have new elements. We have the “1+4” strategy, which brings new opportunities, and we have Henqing, a new space for investment. Also, we highlight that in the coming decade, we have received commitments from the six gaming concessionaires to invest about US$15 billion. Investors can see we have a very stable flow of new investment in the foreseeable future with these new projects. This is very encouraging for them.

My main message for investors is to look at Macau as a platform through which they can capitalise on the development of GBA and also the broader market space. We can provide more business opportunities. We have our unique advantages, with our free port status, free flow of capital, and low and simple taxation regime.

Are you anticipating a new flagship investment in these emerging industries? Which one could be the first one to take off?

U. U. S. – During the pandemic, our economy was hardly hit. Therefore, there was a significant drop in the GDP figures. However, for the investment initiated via IPIM, actually the finished projects kept stable. There was even some increase. The figures related to private investment related to IPIM remained stable. Also, for the inquiries about investment, even during the pandemic, it remained stable, and sometimes there was even an increase. Not only about Macau but also about Henqgin and GBA. For instance, companies told me that they have set up their subsidiaries in 10 of the 11 GBA cities, with Macau missing. They feel the need to complete their foothold in the GBA by adding Macau.

Regarding expectations, in what concerns the four emerging industries, there are different government departments to coordinate the development of those industries, and IPIM is responsible for coordinating the development of MICE. In this respect, last year we had less than 500 events taking place in Macau. This year, we are confident we can reach our goal of hosting more than 1,000 events in Macau, which is more than a 100 per cent growth rate compared with 2022.

What about 2024?

U. U. S. – For next year, we anticipate we can reach 1,500 MICE events, which would be a 50  per cent growth rate and match the figures of pre-pandemic 2019. I would like to stress here that even though we are talking about getting back to pre-pandemic figures, there has been an improvement in the structure of MICE events held here. One needs to consider that we are talking about two main types of events – conventions and exhibitions – and that holding exhibitions is a more complex process. For the figures on exhibitions, in 2022 we outnumbered 2019. This reflects improvement on the structure of events, as exhibitions are more related to investment and enhance Macau’s standing in the regional MICE market.

One of the new concepts being developed is the “One Event, Two Places”, meaning in Macau and Hengqin. How do you see this unfolding?

U. U. S. – Henqgin is a very important element for the development of Macau. Therefore, we have more Henqgin elements in our MICE events, including “One Event, Two Places” . In the first half of this year, we had nine of these events, and for the second half of this year, we have a series of events already. During the MIF, we had four of these events. I would like to put it this way: for the visitors, this concept is also very interesting and convenient for visitors who travel from afar and have the opportunity of being not only in Macau but also Henqgin and the GBA. They welcome this. That’s why during this year’s MIF/C-PLPEX, we led a delegation from Portuguese-speaking Countries to Henqgin.

Macau Business Editorial |November 2023 | By José Carlos Matias – Director 

“A goal without a plan is just a wish,” Antoine de Saint-Exupéry tells us in The Little Prince.

Thankfully, Macau has no shortage of plans charting paths towards its multiple goals. Just the last two years have brought us the General Plan for building a Guangdong-Macau In-depth Cooperation Zone in Hengqin [September 2021], the Second Five-Year Plan for Economic and Social Development (2021–2025) [December 2021], and the Development Plan for Adequate Economic Diversification of the Macau SAR (2024–2028) [just launched].

These blueprints converge on a pivotal a direction: towards a more diversified and sustainable economic structure that is less reliant on gaming, articulation and coordination with the development of Hengqin and the wider Greater Bay Area, and integration of the city into the national development processes.

A formula has been emerging, one that now takes centre stage in the newly announced diversification blueprint: “1+4”. This sum represents integrated Tourism & Leisure being supplemented by the four “emerging” industries of Big Health (with a focus on Traditional Chinese Medicine), Modern Finance, High & New Technology, and the Conventions & Exhibitions, Sports and Commercial & Trade Industries. A closer look at two primary, overall goals – namely decreasing gaming’s share of the overall economy and lessening the government’s reliance on taxes from gaming in the total tax revenue mix – reveals two different measurements of attainment. While the Plan aims to bring the proportion of gaming’s gross added value down to about 40 per cent by 2028 (from 51 per cent in 2019) – an ambitious goal – its target for the reduction of dependence on gaming revenue amounts to merely “attaining a lower level than in 2019”. How do we make sense of this? Is there something to unpack in this apparent disparity?

Achieving a level of tax revenue reliance on gaming simply lower than the 84.8 per cent rate recorded in 2019 is a goal that is not just vague but easy to reach. It goes without saying that 2019 saw the city’s peak reliance on gaming taxes for the recent period (at least since 2014, judging from the detailed information available at the Financial Services Bureau website). This indicates a sparing approach on the part of authorities when quantifying this goal.

And that may well be understandable, given that taxation on gaming is entirely different from that levied on other industries. However, it suggests there is low confidence in a significant reduction of the SAR’s reliance on gaming for current revenue.

On the other hand, increasing non-gaming’s economic share from 49 per cent (in pre-Covid 2019) to around 60 per cent (by 2028) seems a more daring aim. Is it achievable? While t will certainly depend on a number of factors, it may not be a bridge too far. In 2016, for instance, non-gaming reached 53.6 per cent. 

One should underline here the relevance of listing 81 priority projects within the “1+4” framework. Nevertheless, the Blueprint tends to be somewhat vague concerning more specific and quantifiable targets for the “emerging” industries, opting for the phrase “improvement from previous levels.” While this qualitative assessment allows for goals to be achieved, for anyone anticipating a plan with a comprehensive set of concrete objectives, it falls short of the mark.

Still, there are notable exceptions in the Blueprint indicating less guarded optimism, such as the heightened numbers for tertiary education programs, MICE events in general and internationally accredited and professionals involved in the convention and exhibition sector. Other encouraging targets concern high technology, with the Government pledging a substantial MOP 5 billion in accumulated investment in research and development. The focus on enhancing overseas ties and attracting startups and innovation companies from abroad, namely from Portugal and Brazil, is a forward-looking policy that can solidify the city’s Sino-Lusophone platform and bring new value to both Macau and Hengqin. 

In the background, everyone will understand that support from the Central Government is absolutely crucial, and that recovery of the gaming industry to steady healthy levels – like those seen in the latest figures – is a key pre-requisite to all these financial resources and investments being able to move forward.

It has been said before – and local officials have mentioned it too, to a degree – but let us reiterate: pragmatism, realism, flexibility, wise public policies and government guidance, and perhaps most importantly a market-oriented attitude will be crucial to converting wishes into tangible goals. To this recipe we add: avoidance of both wishful thinking and the temptations of hubris.

In the end, beyond the visionary plans and quantitative and qualitative goals, the proof is in the pudding.

All aboard? The “adequate” diversification train is departing, destination 2028. 

Best wishes!

Outside the box

Beyond the specific “1+4” box, a more ambitious approach to attracting foreign direct investment in general could well be embraced. An improvement of investment laws and regulations, coupled with an upgrade of the status of imported top executives and skilled professionals (beyond that set out in the newly established talent attraction scheme), would be highly beneficial. 

In this respect, the proposals put forth at the latest seminar held by the Portugal-China Chamber of Commerce and industry for Macau to become a hub where multinationals can set up their Asia headquarters deserve attention. 

Li Keqiang

The first time I had the chance to take a closer look at Li Keqiang was in October 2007, when I was in Beijing as a reporter covering the 17th Congress of the Communist Party of China (CPC) in Beijing. Back then, all eyes were on two leading figures of the fifth generation, as it was then known, who were promoted to the Standing Committee of the Politburo of the CPC: Xi Jinping and Li Keqiang. Shortly thereafter, Li would become Vice Premier and then in 2013 Premier of the State Council, a position he held for 10 years until March of this year. 

The second time was in Macau, in 2016, when Li presided over the opening of the Ministerial Conference of the Forum Macau. Li’s three-day visit to the SAR was filled with announcements of measures to support the city’s economy and its function as a Sino-Lusophone hub, along with visits to tourist spots where he was warmly greeted. The role of the mild-mannered premier, who was trained as a legal expert first and then went on to earn a PhD in economics, was highlighted in the official obituary. Among other achievements and contributions, he “consistently advanced the reforms to develop the socialist market economy and struck a proper balance between the government and the market”.

In his later years, one of his signature quotes was “The Yellow River and Yangtze River will not flow backward”, indicating that “China’s reform and opening-up will continue to move forward”.

His sudden passing at the age of 68 in late October came as a shock. Li Keqiang’s legacy of public service to the nation and contributions to global development will endure.

The long-awaited blueprint sets the tone and targets for ‘adequate’ economic diversification, grounded on the “1+4” strategy. The aim: by 2028, increasing the share of value added to the economy of non-gaming activities to about 60 per cent, up from 49 per cent in 2019, leveraged by the expected development of the four designated emerging industries. To attain such a goal, the government has spelled out 81 priority projects and several targets. Can it be delivered? Senior economists told Macau Business they are positive about the plan and point to the areas with more potential to yield more palpable results. Tourism-related activities and financial services will likely lead the way.

Diversification has been a recurrent topic in Macau over the past few decades and more so in recent years. The pandemic further highlights the risks associated with being too dependent on gaming and tourism. In fact, statistics speak for themselves when it comes to the city’s reliance on a single industry: gaming. In pre-pandemic 2019, 84.8 per cent of the SAR’s current revenue was sourced from taxes on gross gaming revenue, and the gaming industry accounted for 51 per cent of the total gross added value in the economy. With regards to the latter indicator, over the past decade, with the exception of the 2020-2023 pandemic period, government current revenue reliance on gaming taxes ranged between 77.7 per cent (2015) and 85 per cent (2019), as can be seen in Figure 2. In this respect, the “Development Plan for Adequate Economic Diversification of the Macau SAR (2024-2028),” announced on November 1, falls short of providing a specific target for 2028, other than attaining a lower percentage than that of 2019, which was the year with a higher dependence ratio since 2019. The blueprint, however, holds a more ambitious and specific target concerning the share of gross added value. It aims to achieve a new pattern of economic wealth creation based on about 60 percent (non-gaming) and 40 per cent (gaming). With the exception of the COVID years (2020-2022), the last time gaming was at a level close to 40 per cent was 2003 (42.3 per cent) just before the first foreign-owned casinos opened after the liberalisation of the casino industry (see Figure 1). Over the past decade, the lowest share was 46.7 per cent in 2016 when gross gaming revenue was MOP 223 billion, an amount slightly higher than the MOP 216 billion the Government is projecting for 2024, according to the newly announced budget proposal for next year.

Adding value

Senior economist and Macau Business contributor José Sales Marques notes that while the target for the share of gross added value of gaming is quantified and ambitious (bringing it down to 40 per cent), the aim of lowering the government’s current revenue reliance on gaming is not translated into a number. The plan only states a percentage below the 84.8 per cent level of 2029. “Although the gaming sector is set to drop around 10 percentage points in the structure of Macau GDP from 2019 levels, the fiscal revenue may well stand around 80 per cent of the total current revenues by the end of the five-year period,” Sales Marques underlines. This may imply that there is an understanding that the non-gaming tourism and activities and the four emerging industries altogether will need some time to develop and generate significant fiscal revenue. One should also note that gaming is a special business activity in Macau, which is taxed based on gross revenue, being subject to a 40 per cent levy, instead of profit, as in the remaining activities, which are subject to a 12 per cent corporate tax rate on their net income. “This figure gives a good indication that the government is not expecting, in the meantime, that the other sectors of the 1+4 equation to generate significant fiscal revenues, eventually due to the low tax policies existing in Macau,” the economist points out.

Tourism+, finance leading the way

In the “1+4” formula, 1 stands for integrated tourism and leisure, and four for the designated merging industries: big health, modern finance, high and new technologies, and Convention and exhibition, sports, and the commercial and trade industries. Sales Marques anticipates that “while most of these industries will still need time to take off, the sectors expected to produce most of the dynamics of diversification in the next few years will still be those connected to tourism and leisure and, eventually, modern finance.” Gaming concessionaires are expected to continue to assist the Government in the pursuit of economic diversification in line with the new 10-year concession contracts and the MOP 108 billion pledge from the six operators regarding non-gaming investments throughout the decade-long concession. The diversification blueprint reiterates the requirement for casino companies to “reinforce marketing abroad, promote non-gambling activities and enhance Macau’s reputation on the international level, improving complementary transport services upon arrival in Macau,” thus contributing to the “promotion and dissemination of Macau as a destination for tourism and leisure.”

1+4=

Concerning overseas visitation, authorities aim to return to 2019 numbers by 2028, meaning reach around 3 million. To support this objective, a total of MOP 235 million (US$29.2 million) in public funds has already been allocated for next year. The SAR’s financial legal regime will continue to be updated. After taking steps such as the enactment of the Financial Services Act and adopting a Trust Law, authorities will move ahead with a ‘Securities Law,’ which covers the bond market, the revision of the Law regulating the establishment and operation of investment funds and fund management companies and a legal Regime for Insurance Activities, among other moves. On financial services indicators, the plan does not specify a target for 2028; it only mentions achieving ‘sustained increases’ for added value and total assets, which stood at MOP 37.9 billion and MOP 2.8 trillion respectively in 2022. As for high-technology development, the government has set its sights on accrediting a minimum of 40 enterprises by 2028. Besides, it believes that it will be able to select 20 teams from Portugal or Brazil and cultivate partnerships between them and their counterparts in Hengqin or the Greater Bay Area. As much as MOP 5 billion will have been invested in scientific research by 2028 to support the city in embracing that cause. The development of big health is to be mainly driven by Traditional Chinese Medicine, with a projected increase of gross added value, the number of manufacturing units, and a substantial growth of licensed medicines. In terms of meetings, incentives, conferences, and exhibitions, a range of 2,000 to 2,500 events will have taken place by 2028, up from about 1,500 in 2019. Around 600 to 800 accredited MICE professionals are also expected to enter the industry by then.

Visible, invisible: hand-in-hand

The overall concept and policy direction underpinning the economic diversification strategy were summed up by Secretary for Economy and Finance Lei Wai Nong: “The market itself is an invisible hand, while the government has a visible hand,” guiding and fine-tuning the economy’s operation. The Secretary added that with the central government’s strong support and Macau government’s implementation of various measures, the local government is now “more confident than any time before” in achieving the city’s appropriate economic diversification. Henry Lei Chun Kwok, vice chairman of the local think tank Macau Economic Association, shares also stress that with this blueprint, the city’s development path is sailing towards a solid shore. “The development direction of the Macau economy in the coming 5 years, with the responsibilities of different involved clearly stated and the qualitative and quantitative targets and implied works thoughtfully specified,” underlines Lei, also an Associate Professor in Business Economics at the University of Macau. Asked whether the targets can be achieved, he sees a high probability of that happening: “Given the past practice of the SAR government and the realistic targets contained in the plan, there’s a high chance of successful implementation.”

橫琴深合區經濟發展局局長李子蔚承諾將更重視提升橫琴開發區的國際吸引力。 他指出，即將實施的海關分線管理和澳門新街坊項目將有助於克服猶豫、提振信心。 李子蔚強調，橫琴決心吸引外資和人才。

文：馬天龍

兩年多前，中央政府在橫琴設立粵澳深度合作區並推行“共建共管共享”模式。橫琴深合區經濟發展局局長李子蔚回顧了自2021年9月，即疫情限制解除以來的主要進展和成果。他在接受採訪時指出，即將實施的“一線”、“二線” 分線管理政策將為貿易、投資及貨物和人員的流動帶來巨大飛躍。根據最近的調查，本地居民和年輕人移居橫琴的意願相對較低，但澳門新街坊項目將成就改革。曾任職澳門貿易投資促進局葡語市場經貿促進廳高級經理的李子蔚也熱衷於引入來自葡語世界的企業。他強調，橫琴將在澳門中葡平台上佔一席之地。

橫琴粵澳深度合作區已成立了兩年。期間，深合區主要的發展亮點有哪些？

李子蔚 – 談到橫琴的發展，我們要追溯到2009年。當時，國務院正式批准實施《橫琴總體發展規劃》，將橫琴島定位為“粵港澳合作新模式的示範區”。

2021年9月17日，橫琴粵澳深度合作區正式掛牌成立，橫琴自此踏入了一個嶄新的時代。為何？因為我們採用了創新的管理模式，粵澳兩地政府和官員共同負起管理這個佔地106平方公里、距離澳門特別行政區僅187公尺島嶼的責任。

根據《橫琴建設粵澳深度合作區總體方案》，深合區的定位是促進澳門經濟適度多元發展的新平台。為此，以澳門 “1+4”適度多元發展策略中提出的發展四大新興產業發展為核心，管理機構推行了一系列舉措。在內部，我們始終致力促進匯聚於此的兩個體制之間的相互理解。

對外，我們同心協力，推出助力四大產業加速發展的措施，例如為集成電路產業、大健康、會議及展覽、旅遊業等領域提供支持。我們全力以赴，為深合區的成長奠下堅實的基礎。在過去的兩年裡，我們可以看到深合區已具雛形。

在我負責的投資促進領域，我們引入了許多來自內地和海外有意進行商業活動的投資者。他們不僅對橫琴本身表現出濃厚興趣，澳門與橫琴的一體化進程也獲得了他們的認同。當中不乏已開展了個人業務或項目的投資人士。

自深合區成立以來的兩年多時間裡，疫情造成了諸多障礙。您認為這些年間遇到的障礙和成就是什麼？

李子蔚 – 在疫後重新開放前後，我們確實經歷了一段艱難時期。受到疫情防控限制，流動性方面遭遇了許多障礙。

2023年初，我們迎來了變化。例如，到橫琴的旅客數量大幅增加。作為橫琴的大型主題樂園，長隆海洋王國年度遊客接待量名列全球第八。

另一方面，我們也組織了多次出國考察。我想強調的是，所有這些外訪都是與澳門合辦，由兩地人員組成聯合代表團進行的，遵循了聯合投資促進策略。我們參觀了葡萄牙、西班牙、新加坡、馬來西亞和印尼。我可以告訴你，回饋非常正面。

如果你問大多數外國人士是否曾聽說過橫琴，當中或許只有寥寥數人熟悉橫琴。但如果我們提到澳門，那麼幾乎所有人都知道澳門。澳門擁有橫琴作為支持區域，這讓他們感到興致勃勃。當我們談到各種激勵措施時，他們更感興趣盎然，期待很多機會。因此，在過去數月，我們迎來了許多潛在投資者到澳門和橫琴參觀。

下一步您計劃採取哪些措施，以進一步提高人們對橫琴的認識？

李子蔚 – 我們近期將繼續舉行這些考察活動；另一方面，我們也希望充分發揮澳門作為國際都會的優勢，邀請更多國際企業家到橫琴考察。

外訪考察只是第一步。接下來，我們對外推廣橫琴理念及實現琴澳融合的方式。這些內容都非常有趣，尤其是對於來自葡語國家的人們來說。

儘管我們看到不少內地知名企業到橫琴投資，但有觀察人士提出，需要一家大型外資企業到橫琴投資旗艦項目並在橫琴紮根，方能為其他企業鋪平道路。您對此有何看法？

李子蔚 – 是的，我同意這個觀點。你提到已經有多家內地大型品牌到深合區開設分店。這是一個好兆頭。他們決定到這裡投資，因為這裡與別不同，因為這裡將打造一個高度國際化的區域。這些投資者期待澳門與橫琴一體化的成果，並計劃擴大其在橫琴的業務。

許多在橫琴投資的企業也到澳門設立了分支機構，致力促成企業業務國際化。另外，我們希望能引入大規模的海外投資，因為這將展現澳門—橫琴作為內地市場門戶的重要功能。

這一夢想能很快實現？

李子蔚 – 我相信如此。

特區政府今年推出多項優惠措施吸引澳門企業和居民。他們移居橫琴的理由是什麼？

李子蔚 – 我們一直為澳門企業進駐橫琴提供優惠政策和多項專款補貼，促進澳門產業適度多元化發展。

例如，澳門企業到橫琴開設分支機構或投資，均可享有《橫琴粵澳深度合作區關於支持澳資企業發展的扶持辦法》規定的收益獎勵、品牌入駐獎勵、營運獎勵和研發補貼等優惠。

根據《橫琴粵澳深度合作區促進積體電路產業發展若干措施》，澳門居民或擁有澳門高校學士及以上學位人士可申請人才獎勵，經審批後可按標準金額的1.5倍給予獎勵。此外，澳門公司獲得澳門特區政府的科技類資助可給予資助金額50%，單個項目最高800萬元配套資助

根據《橫琴粵澳深度合作區支持生醫大健康產業高品質發展的若干措施》，對在澳門審核和註冊、在合作區生產的並獲許使用“澳門監造”、“澳門監製”或“澳門設計”標誌的中醫藥產品、食品及保健品，每個品種最高可獲2,000萬元補貼。

我們希望透過這些措施，鼓勵更多企業，特別是澳門中小企業進駐橫琴。

然而，最近的研究顯示，計劃到橫琴定居的澳門居民（包括年輕人）的比例相對較低。如何鼓勵澳門居民參與這一項目？

李子蔚 – 我認為，仍需努力推廣橫琴。我相信，來到橫琴的澳門居民都必定愛上這座島嶼。誠然，澳門是一座高度發展的城市，橫琴仍處於發展階段。所以這種觀點可以理解。然而，橫琴未來肯定能為澳門居民創造許多職涯發展的機會，例如，我們這裡擁有很多在澳門不容易找到的職缺。經營集成電路或生物醫藥業務的企業都在尋找人才。隨著推廣力道加大，只要澳門居民到橫琴，就能享受橫琴帶來的樂趣。

澳門新街坊項目有望在這方面發揮重要作用？

李子蔚 – 是的，確實如此。澳門新街坊項目將為澳門居民提供超過4,000個住宅單位。隨著新社區建成，越來越多澳門居民將移居橫琴。

澳門商界又如何？有觀察家表示，澳門商界往往偏好規避風險、作風保守。怎樣才能促使他們更積極地投資橫琴？

李子蔚 – 好吧，就此而言，並非大多數澳門企業家都如此保守。

目前，在橫琴註冊成立的企業約有57,000家，其中約10%來自澳門，約5,700家。 在過去兩年期間，這一數字持續穩步增長。

我們不斷推出優惠政策和補貼，吸引澳門企業進駐橫琴。另一方面，我們也致力為他們打造一個熟悉、便利的營商環境，無論是零售業或餐飲業等。

行政長官也指出，橫琴工業園區的部分空間將撥給澳門企業發展業務。

在吸引企業和人才方面，流動性發揮關鍵作用。海關的分線管理措施是其中一項關鍵政策。能為我們介紹一下最新情況嗎？這將如何運作？

李子蔚 – 我們的目標是近期推行這一機制。“一線”、“二線”管理系統實施後，所有從澳門中轉至橫琴（一線）的商品將按規定享有豁免關稅的優惠，且在橫琴加工增值達到或超過30%的貨物，經橫琴（二線）進入內地也享有免徵進口關稅的待遇。這些政策都已在方案中明確說明。我們預計這項措施將在不久的將來實施。

深合區對澳門發揮中國與葡語國家平台角色有何作用？

李子蔚 – 橫琴的主要任務是協助澳門特區實現經濟適度多元化並發揮澳門中葡平台作用，因此，橫琴對葡語國家有一定的作用。我們始終朝著這一方面努力。

去年12月，澳門、珠海、橫琴三地共同簽署了《共建中國—葡語系國家科技交流合作中心戰略合作協議》。目前，中心內部裝修工程快將完成，預計今年投入營運。中心主要提供技術支援、代表企業申請內地專利註冊、人才培訓、培訓職業經理人、推動交流和舉辦會展活動等六大服務，將成為引進投資資金、促進中國與葡語國家交流合作的重要平台。

橫琴將推出新的支持措施，協助青年創業家、初創企業和高科技企業到橫琴探索新機會。透過科技交流合作中心，我們舉辦工作坊和培訓，促進交流，為葡語國家企業拓展內地合作夥伴網絡和獲得基金支持提供助力。

與此同時，我們與澳門貿易投資促進局緊密合作，透過吸引葡語商品進口商到橫琴，共同推廣葡語國家產品，且卓有成效。

我們計劃在橫琴設立專門的產品推廣空間。

非中國籍澳門居民跨境流動至橫琴的情況如何？

李子蔚 – 我們非常清楚，在談論澳門居民時，不能只談論中國籍居民，因為澳門有許多非華裔人士。

我們正在與當局合作，希望能夠簡化簽證程序。我們清楚，順暢的人員流動對雙方融合而言非常重要，不僅是中國公民，與澳門國際社群的融合亦在此列。

這些國際社群在橫琴發展中能夠發揮什麼作用？

李子蔚 – 澳門發展迅速，機會眾多，但空間有限。葡人社群及其他社群可以透過為澳門和橫琴帶來更多投資，協助其在這座島嶼上的項目更順利地開展。

我們的所有政策均提供三種語言版本：中文、葡萄牙語和英語。這對於進一步吸引海外人士非常重要。

您近期的首要任務是什麼？

李子蔚 – 一是落實推行橫琴分線管理（一線、二線）。在招商引資方面，我們希望繼續與澳門開展聯合推廣活動，讓人們不僅可以看到橫琴的機遇，還可以看到更廣闊的澳門，包括橫琴深合區，而不僅僅是博彩飛地和旅遊目的地。

同時，我們希望吸引來自世界各地的人才，歡迎各界人士蒞臨橫琴。橫琴是中國最開放的區域之一，這裡機會無限，我們的大門總是敞開的。

投資橫琴的最佳時機？

李子蔚 – 永遠都不會太早。

《商訊》2023年10月 | 總監之言 – 馬天龍

信心是經濟學中一個典型又難以捉摸的概念和元素。人們可以自信地斷言“信心是一種自我實現預言”。這意味著，若消費者和企業對未來失去信心，消費和投資的意願將隨之減弱，最終導致經濟停滯。相反，當消費者和投資者信心爆棚時，則拉動消費和投資，假設這些投資帶來明顯的回報。因此，信心和期望之間存在千絲萬縷的聯繫。

我們在澳門的所見所聞無不令人鼓舞：在龍頭產業（旅遊和博彩）的帶動下，經濟強勁復甦，主要指標明顯轉好。然而，對其他某些商業活動的涓滴效應卻未起到立竿見影之效，我們觀察到明顯的不平衡復甦模式。

對小型企業而言，儘管那些位於旅遊景點的商舖已從令人印象深刻的旅遊業復甦中獲益，其他位於居民區的企業卻仍被陰霾籠罩。許多小商舖仍努力在泥潭中重新站起來。小型企業無疑遭受到“澳車北上”政策的衝擊。

展望未來，特區當局重拾對社區旅遊業的關注是明智之舉。隨著政府與六大博企聯手推動活化舊城區並取得初步成效，相信未來將迎來累累碩果。

在投資方面，業界投資者的信心與房地產投資密切相關。就此而言，政府最近就兩幅位於氹仔的土地展開公開招標程序，卻僅收到了一份標書，結果堪憂。這一消極的事態發展無疑是出乎意料，尤其是考慮到這是自2008年以來特區首次進行土地拍賣。

全國房地產行業持續低迷、全球經濟充斥著種種不確定性，加上高利率週期，當然不利於拍賣的開展。

行政長官承認此事，並表示政府將在下一次土地拍賣前給予私人地產行業復甦的時間。如果再次錯失灌輸投資信心的機會，那確實令人遺憾。

應許之地

在公佈2024年施政報告和財政預算案之前，賀一誠宣佈，現時推行的社會福利政策將持續下去，公務員將加薪。這些都是保證社會穩定和消費者信心的重要舉措，同時配合大膽創新的措施，為中小企業注入活力。誠然，行政長官賀一誠在出席中華人民共和國成立七十四周年國慶酒會時強調，改善民生是提升城市發展的四大重點之一，同時聚焦維護國家安全、加快推進“經濟適度多元發展”和全力推進橫琴粵澳深度合作區建設。

除了即將出台的《施政報告》，社會的注意力都將聚焦在即將公佈的經濟多元化藍圖上，預計該藍圖將概述實現適度多元化的具體步驟。我們期望，這將是一個務實且以市場為基礎的方案。

這一進程與橫琴粵澳深度合作區的發展和區域整合息息相關。

橫琴經濟發展局局長李子蔚在接受本刊採訪時，為簡化貨物跨境流動，計劃近期實施“一線、二線”出入境管理模式。他詳細介紹了這一關鍵舉措，以及其他重要的配套措施。

在前行的道路上，提速落實上述多項政策和措施，令結果更接近預期，從而增強人們對眼前這片應許之地的信心。這不一定被視為信仰飛躍。

Light & Wonder CEO Matt Wilson sees room for growth in Macau’s highly competitive market. The slot machine supplier is introducing new games catering to the new crowds on the gaming floors

Macau’s market for slot machine suppliers has been highly competitive over the years, even more so under the new 10-year gaming concession arrangement, which allocates the number of tables and slot machines per concessionaire, bringing the compounded figure to 12 thousand.

Global gaming company Light & Wonder, formerly known as Scientific Games, is one of the major players in town, and CEO Matt Wilson is positive about enhancing their foothold. While acknowledging that Macau is “obviously a very competitive market,” Wilson says the Nasdaq-listed company, which recently joined the Australian Securities Exchange, is not fixated on the competition. “We are not really focused on the competition; we’re focused on supplying the best products for casino operators,” he tells Macau Business.

Slot machine suppliers have been busy upgrading machines on casino floors in line with the government’s new technical standards initiative, which will see all properties gradually change their games until the end of 2026. While that process, as instructed by the industry regulator Gaming Inspection and Coordination Bureau (DICJ), will take shape gradually, Light & Wonder is focused on “building on the great franchises that players know and love.” An example is the Duo Fu Duo Cai Grand, a product they are bringing to the market.

Philippines as a testing ground

The CEO of Light & Wonder acknowledges that in other markets less constrained than Macau in terms of slot caps, it is easier to bring in and test new products, such as the Philippine market. “In the Philippines, as an example, which is a wild growth market, we are introducing lots of new products to that market. So, I guess the idea will be to test and learn in the Philippines and bring back the successful things that give us a high chance of success.”

Operators and suppliers have been bullish on the Philippine market as gaming revenue this year may surpass the 2019 tally, according to an estimate by the country’s gaming regulator, the Philippine Amusement and Gaming Corp (PAGCOR).

While noting that “the near-term focus is on putting the right level of investment into the markets in Asia and around the world that are delivering results for us over the next few years,” Macau will always be Macau. “I always say, remember the lady that brought you to the dance. You know, Macau has been great to us,” stresses Wilson, who was based in Macau between 2008 and 2012 when he was with another major slot machine supplier, Aristocrat. He finds the city’s gaming industry recovery something “fantastic to see,” especially considering that “only a year ago, many were questioning whether Macau would fully recover.” Matt Wilson emphasises that the SAR market “has been very resilient for a long time.” So, “I would say, question the Macau gaming market at your peril.”

In the second quarter of 2023 alone, gross gaming revenue generated by slot machines had reached 71 percent of what was recorded in the second quarter of pre-COVID 2019, according to data from DICJ. In early September, the investment bank JP Morgan estimated that Macau’s mass market GGR was reaching 93 to 94 percent of pre-COVID levels.

“We want to be a partner in perpetuity in this market,” Wilson concludes.

Hengqin Economic Bureau chief António Lei pledges a stronger focus on increasing the Zone’s international appeal. The soon-to-be implemented two-tier customs management and the New Macau Neighbourhood project will help overcome hesitancy and boost confidence, he notes. Hengqqin is keen on attracting foreign investment and professionals, Lei stresses  

It has been two years since the Central Government established the Guangdong-Macau In-Depth Cooperation Zone in Hengqin, under a co-management model. In an interview with Macau Business, António Lei, director of the Zone’s Economic Development Bureau, reviews the main results and challenges and points to big leaps in trade, investment, and mobility resulting from the upcoming ‘first-line, second-line’ separate customs management system. For SAR residents, the Macau New Neighbourhood project is set to be a game changer, he indicates, which will help ease hesitancy among SAR residents. Lei, who previously served as senior manager of the Lusophone Markets Economic and Trade Promotion Department at the Macau Trade and Investment and Promotion Institute (IPIM), is also keen on bringing companies from Portuguese-speaking countries.

Two years after the establishment of the Guangdong-Macau In-depth Cooperation Zone in Hengqin what are the main highlights regarding the zone’s developments?

António Lei -When we are talking about the development of Hengqin, we should go back to 2009 [ when the State Council of the People´s Republic of China officially approved the Overall Development Plan of Hengqin, whereby Hengqin Island was positioned as a demonstration area for the new model of cooperation between Guangdong Province, Hong Kong and Macau.]

However, it was on September 17, 2021, that the Guangdong-Macau In-depth Cooperation Zone in Hengqin was established. From then on, Hengqin heralded a new era. Why? Because we adopted a new model of administration with officials and civil servants coming from Guangdong and Macau, working side by side to administer this 106-square-kilometer island, which is just 187 metres from the Macau SAR.

According to the General Plan [for Building the Guangdong-Macau In-Depth Cooperation Zone in Hengqin], the Zone’s function is to assist Macau in the adequate diversification of its economy. To this end, a number of measures were adopted, centred around the need to develop the four nascent industries that comprise Macau’s “1+4” economic diversification strategy. Internally, we have been focusing on promoting mutual understanding of the two systems that converge here.  

Externally, we have been working together and launching measures to accelerate the development of the four major industries, such as supporting the integrated circuit industry, big health, conventions and exhibitions, as well as tourism. All this is aimed at laying the foundations for development. Over the past two years, we have seen this already taking shape.

In what concerns my area of investment promotion, we have welcomed here many investors from mainland China and overseas interested in developing business activities. They show interest not only in Hengqin proper but also because of the Macau-Hengqin integration process.

Some of them are already developing their businesses and projects.

For more than half of this two-year period since the Zone’s establishment, the pandemic posed a number of obstacles. What would you single out as hurdles and achievements in these couple of years? 

A. L. – There is indeed a period before and after the post-pandemic reopening. While under pandemic restrictions, we faced many hurdles in terms of mobility.

In early 2023, everything changed. We noticed, for instance, that the number of visitors to Hengqin had increased substantially.

Hengqin has a well-known large-scale theme park, Chimelong, which ranks eighth around the world in visitation.

On the other hand, we also carried out a number of visits abroad. I would like to stress that all these visits were conducted jointly with Macau representatives in one single delegation, following a joint investment promotion strategy. We visited Portugal, Spain, Singapore, Malaysia, and Indonesia. I can tell you that the feedback has been very positive.

If you ask most people overseas if they have heard of Hengqin, only some are familiar with it, but if we mention Macau, everybody knows about Macau. They find it very interesting that Macau has Hengqin as a supporting Zone and when we talk about the various incentives and measures, they are even more interested, anticipating many opportunities. We have therefore welcomed many potential inestors visiting both Macau and Hengqin over the past few months.

What are the next steps you plan to take to further raise awareness about Hengqin?

A. L. – In the near future, we will continue to carry out these visits. On the other hand, we also want to make the most of Macau as an international city that welcomes many international business people to extend their visit to Hengqin.  

These visits are a first step. Next is to explain what Hengqin is and how the integration with Macau will come to fruition. All of this is very interesting, namely for those coming from Portuguese-speaking countries.

While we have seen a number of well-known mainland companies making investments in Hengqin, some observers say there is a need for a large-scale FDI flagship project to take root in Hengqin and pave the way for others. What’s your view on this?

A. L. – Yes, I agree with that view. You mentioned that there are several big names from the mainland already setting up shop here. That is a good sign. They decided to invest here because this is a different place, as it will be a very international zone. These investors anticipate the results of the Macau-Hengqin integration and will expand their businesses.

Many of these companies that invested here also set up units in Macau, projecting the internationalisation of their operations.

In addition, we want to have large-scale overseas investments, as this is evidence that Macau-Hengqin is a gateway for the mainland China market.

Are we close to that point?

A. L. –  I believe so.

Throughout this year, a number of incentives have been rolled out to attract Macau companies and residents. What’s the case for them to settle here?

A. L. – We have been providing preferential measures for Macau companies to operate here, with several special subsidies for Macau enterprises in order to promote the development of adequate diversification in Macau’s industries.

As an example, Macau companies that establish and invest in Hengqin can benefit from revenue incentives, brand settlement incentives, operation incentives, and R&D subsidies under the Support Measures for the Development of Macau-funded Enterprises in the Guangdong-Macau In-Depth Cooperation Zone in Hengqin.

According to the Measures for Promoting the Development of the Integrated Circuit Industry, Macau residents or individuals with a bachelor’s degree or higher obtained from higher education institutions in Macau, upon approval, can enjoy 1.5 times the talent incentives . Additionally, Macau enterprises that have received technology funding from the Macau SAR Government will receive a subsidy equivalent to 50 per cent of the funds up to RMB 8 million per project.

According to the Support Measures for the High-Quality Development of Biomedicine and Big Health Industries, a subsidy of up to 20 million RMB per product will be granted to traditional Chinese medicine products, food products, and health  products that have been approved and registered in Macau, manufactured in the Cooperation Zone and authorised to use the “production supervised by Macau”, “produced by Macau” and “design by Macau” signs.

Through these measures, we want to encourage more companies, namely SMEs from Macau, to come to Hengqin. 

Recent studies, however, indicate that the percentage of Macau people, including young people, planning to settle in Hengqin is relatively low. What can be done to mobilise the Macau residents for this project?

A. L. – I think we need to work harder to promote Hengqin. I believe these residents will enjoy Hengqin once they come and pour around. Certainly, Macau is a highly developed city, while in Hengqin we are still in a developing phase. So that view is understandable. But in the future, Hengqin will certainly offer many opportunities for professional development. For example, here we have many vacancies that one cannot find easily in Macau. For example, in integrated circuits, biomedicine These companies are looking for manpoqwe. With more promotion, once Macau residents come here, they will also enjoy Hengqin.

The Macau New Neighbourhood is expected to play an important role in this respect.

A. L. – Yes. Exactly. The Macau New Neighbourhood will provide over 4,000 housing units exclusively for Macau residents. With the new neighbourhood, more and more Macau residents will be living in Hengqin.

What about the Macau business community? Some observers say the Macau business community tends to be risk-averse, conservative. What can be done to make them more eager to invest in Hengqin?

A. L. – Well, there are many Macau businessmen who are not that conservative in that sense.

Currently, we have about 57 thousand companies incorporated in Hengqin, of which about 10 per cent are from Macau—about 5,700. This figure has been steadily increasing over the past two years.

We have been launching measures and subsidies to attract Macau companies to Hengqin. On the other hand, we are also working to provide a familiar and convenient business environment for them, be it in the retail or food and beverage sectors, among others.

The Chief Executive has also pointed out that a portion of land earmarked for industrial parks in Hengqin will be allocated for Macau firms to develop operations.

Mobility plays a key role in attracting businesses and people. A pivotal policy is the “first line/second line” measure. Could you update us on that? How is that going to work?

A. L. – The aim is to implement this system in the near future. Once the first line/second line system is implemented, all merchandise transiting from Macau to Hengqin (first line. will be free of customs tariffs And these products, which are transformed in Hengqin with an added value of at least 30 per cent, will also benefit from tax exemption when crossing from Hengqin to the rest of the mainland (second line). This is spelled out in our plan. We expect this measure to be implemented in the very near future.

What will be the role of the In-depth Cooperation Zone in Macau’s function as a platform between China and the Portuguese-speaking countries?

A. L. – The main mission of Hengqin is to assist Macau in the SAR’s adequate economic diversification, and Macau plays the role as a Sino-Lusophone platform. Therefore, Hengqin has a function here in relation to the Portuguese-speaking countries.  We have been working on this.

In December last year, Macau, Zhuhai, and Hengqin jointly signed the Strategic Cooperation Agreement on the Centre for Science and Technology Exchange and Cooperation. Currently, the Centre is finishing its interior decoration works, and its entry into operation is scheduled for this year. The Centre can provide six main services: technology support, filing applications for patent registration in mainland China on behalf of enterprises, talent training, training professional managers, exchanges, and holding convention and exhibition activities. The Centre will also serve as an important platform for introducing investment funds and promoting exchanges and cooperation between China and Portuguese-speaking countries.

Hengqin will launch new supportive measures for young entrepreneurs, startups and high-tech companies to come to Hengqin and explore new opportunities. Through this Centre, we will promote workshops, training, and exchanges so these companies from PSC can meet partners from mainland China and funds.

We have also been cooperating with the Macau Trade and Investment Promotion Institute (IPIM) to jointly promote Portuguese-speaking countries’ products by bringing importers of Lusophone goods to Hengqin. And the outcome was very successful.

We are planning to set up a dedicated space in Hengqin to promote these products.

What about non-Chinese Macau residents cross-border mobility to Heqngin?

A. L. – We are perfectly aware that when we talk about Macau residents, we cannot only address the Chinese residents, as we have many non-Chinese Macau residents.

We are working with authorities so that there will be a simplification of visa procedures.

We understand that smooth mobility is very important for the integration of both sides, not only of Chinese nationals but also of the international communities of Macau.

What role could these international communities have in the development of Hengqin?

A. L. – Macau offers many opportunities due to its fast-paced development, but there are limitations regarding space. The Portuguese community and other communities can help Hengqin develop their projects more easily by bringing more investments to Macau and Hengqin.

All our measures are available in three languages: Chinese, Portuguese, and English. This is very important to further attract people from abroad.

What are your priorities for the near future? 

A. L. – One is to implement Hengqin’s separate administration (first line and second line). In terms of investment promotion, we want to continue to carry out joint promotional activities with Macau so people can not only see the opportunities in Heqngqin but also have a broader view of Macau, which includes the Hengqin Zone and not solely as a gaming and tourism destination.

We also want to attract talents from all over the world. All are welcome to Hengqin.

Hengqin is one of the most open zones of China as it’s full of opportunities. Our doors are open.

When is the right time to invest in Hengqin?

A. L. – It’s never too early.

Photos by Oswald Vas

Introducing a law firm model in Macau is long overdue, stress Rui Pinto Proença, managing partner of MdME, and Carlos Duque Simões, former managing partner of DSL Lawyers. In an interview that followed the announcement of DSL’s integration into MdME, both lawyers also highlight the need to meet the demands of a market that increasingly calls for specialised and multilingual skills.

Bringing a broader pool of talent under one roof to cater to the growing demand for specialised business law services was mentioned as a key driver for the integration of DSL Lawyers into MdME. The agreement, first reported by Macau Business’s sister online publication, Macau News Agency, took effect on October 1. Macau Business sat down with Rui Pinto Proença, MdME managing partner, and Carlos Duque Simões, former DSL Lawyers managing partner and now partner at MdME, who weighed in on an evolving landscape where specialisation is a prominent feature.

“Today, it is not easy for a lawyer to master all fields of law, as the legal landscape has grown significantly more complex with various layers and facets,” notes Rui Pinto Proença, adding that “topics such as data, cyber, etc. have taken center stage, which was not the case a decade ago.” This trend has “numerous ramifications and requires specialised knowledge.” While in the past, law offices could easily operate with relatively small teams, primarily led by general practice lawyers, Carlos Duque Simões emphasises that “nowadays, having a versatile and specialised team is essential.”

Specialised, multi-layered

This entails finely-tuned expertise in specific fields and the ability to master different languages and diverse legal systems. As a result, local law offices have expanded to include more multilingual practitioners and professionals with a clear understanding of the legal systems of Macau, Hong Kong, Mainland China, among other jurisdictions. Simões adds that the increased investment from multinational Chinese companies in recent years has resulted in “a growing need for people proficient in various languages – that is, for multi-practice and multi-cultural teams.”

In the same thread, Proença underlines that “clients expect that full-service law firms such as ours are capable of delivering specialised practice and sector knowledge in the official languages plus English.” With the integration of DSL into MdME, the new MdME law office will comprise more than 40 legal professionals, including 12 partners across three offices—Macau, Hong Kong, and Lisbon—as mentioned in the press release announcing the agreement.

Firm call

Contrary to the practice in many jurisdictions worldwide, lawyers in Macau do not have the necessary legal framework to establish themselves in a law firm structure, which is an entity dedicated to providing legal services. Currently, individual lawyers in Macau can collaborate with other legal practitioners under the same premises and a shared name, but, technically, each lawyer provides services individually within an arrangement defined as a law office. The SAR’s Lawyers Statute indicates that a specific law governing law firms may be enacted after consulting the Macau Lawyers’ Association and the Superior Council of Macau Lawyers. In 2020, Secretary for Administration and Justice André Cheong said the government was open to the possibility of regulating law firms in the city. For both Rui Pinto Proença and Carlos Duque Simões, it is about time for the SAR to take such a step, which they believe is long overdue.

“My view is that the law firm model should have been introduced decades ago. Frankly, I am not aware of any other jurisdiction around the world without a framework that allows lawyers to organize their practice as a law firm,” Proença stresses.

Simões agrees that “this issue has long been overdue for resolution,” adding that “the longer it takes to address, the more challenging it will become.” Both lawyers underline that the current regime confounds clients.

“Quite often, when we are dealing with overseas corporate clients, they find it quite concerning that they are not interacting with a law firm,” Proença notes. For the MdME managing partner, the current system not only “poses an obstacle to the development of the legal profession in Macau,” but also “hurdles in terms of allocation of resources and the upward mobility of lawyers within more professionally oriented structures.”

Hengqin, step-by-step

In recent years, a number of Macau-based law offices have set their foothold on the neighbouring Hengqin island. As the trend toward integration between Macau and the Guangdong-Macau In-depth Cooperation Zone in Hengqin is set to be intensified, will MdME follow in the footsteps of counterparts and have a fully-fledged operation in partnership with mainland partners there? MdME managing partner Rui Pinto Proença does not harbour significant enthusiasm about such a prospect. He explains that there has been a joint venture model that other Macau law offices have adopted, where they team up with mainland counterparts. “I am not particularly excited about that approach, as it seems to me that the Macau partners will always be in a junior partner position,” he says. Nevertheless, MdME has a small unit in Hengqin, which is licensed to provide corporate secretarial services. “It’s not a law office, but it’s a first step.” Regarding what lies ahead for the neighbouring In-Depth Cooperation Zone, he notes that “with the new institutional arrangement of co-management between Guangdong and Macau, we have a good foundation for future economic dynamics.” This can be translated through further differentiation, vis-à-vis other places in mainland China, as a foreign investment destination. “For this to happen, there needs to be more freedom of movement of people, goods, and capital, certainly under a properly regulated environment.” A flagship, large-scale, FDI undertaking could be a game-changer, Proença indicates. Staying away from an overly rigid legal system is of paramount importance, Simões adds. “The crucial point is that of investors’ perception, as there should be flexibility in terms of arbitration and the choice of applicable law.” In that respect, “some timid steps have already been taken in that direction,” the former DSL managing partner concludes.

Macau Business Editorial |October 2023| By José Carlos Matias – Director 

Confidence is a quintessential yet somewhat elusive concept and factor in economics. One thing is certain: “confidence is a self-fulfilling prophecy”. In other words, if consumers and businesses lose confidence in the future, they are less likely to spend and invest, and that ultimately leads to the economic stagnation they feared in the first place. Conversely, when consumers and investors are confident about the economy, they tend to increase consumption and investment based on an assumption those investments will yield real returns. Thus, confidence and expectations are intrinsically linked.

What we are witnessing in Macau is indeed encouraging: a robust economic recovery with major indicators showing clear improvement, led by the city’s core industries (tourism and gaming) which naturally serve as “head of the dragon”. However, the trickle-down effect for some of the region’s other business activities has not been immediate, and a conspicuously uneven recovery pattern has emerged.

On the small enterprise front, while those operating in tourist spots have reaped the benefits of the impressive resurgencein visitation other businesses in residential areas are faced with a much less optimistic picture. Many small shops are still struggling to regain their footing.

The impact of the double-edged sword that is the Northbound Travel for Macau Vehicles policy is certainly being felt by many of these small businesses.

Looking ahead, the authorities’ emphasis on community tourism is wise and is set to yield positive results as the revitalization projects for old neighbourhoods – conducted jointly between the Government and the six gaming operators – begin to take shape.

In terms of investment, overall business investor confidence and investment in real estate are closely intertwined, making the result of a land auction for two parcels in Taipa of considerable concern: just one company came forward to bid on the two plots. Considering this is the first land auction to be held in the SAR since 2008, this undoubtedly represents an undesirable development. Persistent nationwide property-sector woes combined with global economic uncertainty and a high interest-rate cycle to make the environment far from conducive for a successful tender.

The Chief Executive acknowledged this, stating the Government would give the private property sector time to recover before the next land auction. It would be unfortunate indeed to witness another missed opportunity at instilling investor confidence.

Promised (is)land

Ahead of the 2024 Policy Address and Budget, Ho Iat Seng also announced that existing social welfare measures will stay in place and that civil servants will see a salary increase. These are important moves towards ensuring social stability and consumer confidence, which should be accompanied by bold and innovative measures to support SMEs. Indeed, improving people’s livelihood was identified as one of four key priorities for elevating the city’s development highlighted by Chief Executive Ho Iat Seng at the reception commemorating the National Day of the People’s Republic of China, alongside a focus on safeguarding national security, expediting “appropriate economic diversification” and promoting the development of Hengqin island.

In addition to the upcoming Policy Address, all eyes will be on the soon-to-be-announced economic diversification blueprint expected to outline concrete steps towards appropriate (we assume pragmatic and market-oriented) diversification.

This process is closely intertwined with development of and integration with the Guangdong-Macau In-depth Cooperation Zone in Hengqin.

The forthcoming new customs management model, to operate under a “first-line, second-line” system designed to streamline the movement of goods across the border, is a key step along with various other important measures, as detailed by Hengin’s Economic Development Bureau Director António Lei in an interview for this issue of Macau Business.

The way forward: expedite these steps to bring results closer to expectations. Doing so will eliminate the need for a leap of faith, instead providing the confidence to partake in that promised (is)land lying just a stone’s throw away.

《商訊》2023年9月 | 總監之言 – 馬天龍

中國偉大的改革開放和現代化建設總設計師、遠見卓識的締造者、已故領導人鄧小平有一句名言：“打開窗戶，新鮮空氣和陽光會進來，也會飛進蒼蠅”。儘管蒼蠅是自然界的組成部分，無法被完全消滅，但如室內蒼蠅數量過多的話，始終令人感到麻煩。這是否意味著我們應該迅速地關上窗口？絕非如此。現任領導人顯然已意識到這樣的舉動是大錯特錯的。

儘管如此，疫情帶來的三年封關鎖國讓城市開放受挫。儘管當局一再承諾並採取行動以期有效地恢復正常，但某些方面尚未取得實質性成果。在宏觀經濟層面，人們耳熟能詳的“脫鉤”和“自力更生”等口號不僅未能為推動國際政治經濟平衡發展提供可行解決方案，反而增加了不同的風險。

在濠江小城，當前的時代精神主題顯而易見，即使針對疫情的封鎖措施已被取消，政府亦努力扭轉疫情造成的影響。作為一個小型開放經濟體，澳門很容易受到各種外在因素影響，這使得預測和規劃成為一項艱鉅的挑戰。特區五年規劃和長期藍圖展現了政府的睿智和遠見，但在某些問題上作出的反應卻令人感到困惑，兩者間存在著明顯的矛盾！

要收穫實在的成果，需要大膽創新的策略，且越早越好！零敲碎打的方式是無法湊效的。疫情結束後，澳門確實迎來了顯著復甦，甚至超出了最樂觀的預期；但從長遠來看，沒有創新、一切照舊，這根本不是一個可行的選擇。政府已多次明確表達，至少暗示了這種情緒。

如果要超越那紙上談兵的崇高志向，實在地向前邁進，就必須腳踏實地將承諾付諸行動。面對新的人才引進方案、確保澳門與橫琴之間的流動性及滿足本地中小企業和澳門年輕人需求，我們不容有失。

因此，賀一誠的下一份施政報告至關重要，因為這將是疫後步入穩定的背景下發表的第一份施政報告，也是他第一個五年任期的最後一份施政報告。

在人力資源方面，我們應該注意香港當局追求的路線，那是更雄心勃勃的藍圖。儘管港澳特區的經濟規模存在差異，官方數據卻令人印象深刻：截至去年5 月，香港最新的“高端人才通行證計劃”僅實施六個月，當局就已收到了8.4萬份申請並批准了當中的4.9萬份申請。為什麼澳門就無法以更大膽、更自信的方式，確保城市對全球頂尖人才的吸引力？

別誤會我的意思；澳門是一顆明珠，一座獨特的城市，許多外地人士能夠在此獲得豐富且難忘的生活體驗。但如果這座城市能夠完成這個任務，那麼未來仍有巨大的潛力可供開發。事實仍然是：這一切都是為了在本地勞動力和進口勞動力之間、經濟增長和可持續發展之間、安全與開放和創新之間取得平衡。這顯而易見！

因此，請打開窗戶，不要擔心蒼蠅；我們需要用力呼吸新鮮的空氣。

By José Carlos Matias

In Manila, Philippines

COD Manila Property President Geoff Andres hails the industry’s first-half performance in the Philippines and projects further growth throughout the remainder of 2023 and beyond

This year’s first-half results indicate a solid recovery for City of Dreams Manila, Melco Resorts and Entertainment’s property in the Philippines, with a 25.7 per cent year-on-year increase in its operating revenues and a 31.5 per cent jump in Adjusted EBITDA.

These figures come as the overall Philippine gaming market saw a 48.7 per cent jump in gross gaming revenue (GGR), reaching PHP 136.37 billion (US$2.47 billion).

Geoff Andres, Property President at City of Dreams Manila (COD Manila), told Macau Business that “The Philippines has done a brilliant job of managing the pandemic, and it is motivating to see greater international business coming into the Philippines as travel has opened up.”

The occupancy rate at COD Manila’s three hotels – Nüwa, Nobu Hotel, and Hyatt Regency – is “in the high 90s, back to pre-pandemic levels,” added Mr Andres, a top executive with an extensive experience in integrated resorts management who had two stints in Macau, as Senior Vice-President and General manager at Sands Macau (2010-2015) and as Property President of Melco’s Studio City Macau, between 2018 and 2020.

The head of the country’s regulator, the Philippine Amusement and Gaming Corporation (PAGCOR), Alejandro H. Tengco, said in an interview with Macau Business published in August that he was highly confident that the Philippine market will reach 92 per cent GGR of the pre-pandemic levels. “Not to mention that there is a possibility that our foreign tourists will be coming in. That means if that happens, there is a big chance that we will be close to the pre-pandemic numbers,” Mr. Tengco said in the same interview.

Geoff Andres shares the same upbeat approach regarding the second half of 2023 and beyond. “I continue to be optimistic that we will have a strong 2023 and even a stronger 2024 with the increase in international flights coming to the Philippines that will benefit City of Dreams Manila, the hotels, and the other tourist attractions in the country,” COD Manila’s Property President told Macau Business.

Projecting a win-win regional landscape

Mr. Andres is also confident that Melco’s integrated resort in the Philippines is well-positioned to tap into the needs and expectations of a new generation of travellers, younger people who “are also looking for new ways to be engaged in memorable ways, with sustainability becoming top of mind.”

This is interwoven with the property’s non-gaming offerings, which also witnessed double-digit growth in the first half of 2023, as non-gaming revenue at COD Manila increased by 15.5 per cent.

The resort, where Geoff Andres had previously served as the first Property President between 2015 and 2018, boasts 1,000 hotel rooms, three Forbes Travel Guide-rated luxury hotels, and over 20 restaurants, along with the family entertainment centre, DreamPlay, among other amenities.

Asked about the impact of regional competition arising from Singapore and Macau’s post-COVID robust recovery, Geoff Andres sees this as a win-win situation rather than any sort of zero-sum game. “It is great to see Macau making a comeback, and it is also great to see Singapore doing very well,” he said, stressing that “the integrated resort model is something that people enjoy not only in the Philippines but across different markets in Asia. There is certainly no lack of demand or lack of supply.”

Quality takes centre stage amid the market recovery. “Customers respond well to high-quality entertainment, great hotels with great service that offer a variety of things to enjoy and be entertained by.”

Whether it is in Singapore, in Macau, or in the Philippines, “I believe the future is bright for all markets,” Mr. Andres concludes.

Macau Business Editorial |September 2023| By José Carlos Matias – Director  

There is a famous quote from Deng Xiaoping, late leader and visionary architect of China’s remarkable era of opening up and reform: “If you open the window for fresh air, you have to expect some flies to blow in”. And, while flies are a natural part of our environment that mustn’t be eradicated, too many flies indoors can be a nuisance to say the least. Does that mean we ought to swiftly close the window again? Absolutely not. Our current leaders are hopefully aware of the grave mistake in making such a move.

Nonetheless, the three-year closure brought on by the pandemic has provided a setback to openness. And despite repeated commitments and moves to embracing an effective return to normalcy, substantial results have yet to materialise in some ways. On a macro level, not only do the oft-heard “de-coupling” and “self-reliance” mantras offer no viable solutions for a more balanced international political economy, they entail a multitude of risks.

In our city, the current Zeitgeist (spirit of our times) is palpable, even as we undo the pandemic’s closures and endeavour to reverse their effects. As a small and open economy, Macau is susceptible to a wide array of exogenous factors that make forecasting and planning a formidable challenge. Nevertheless, there is a perplexing apparent contradiction between the wisdom and vision of the five-year plans and long-term blueprints handed down, and the often short-term, reactive approaches adopted by the local authorities to some matters.

Tangible results will require bold strategies, not a piecemeal approach, and the sooner, the better. Though Macau has indeed experienced a remarkable post-pandemic recovery surpassing even the most optimistic of expectations, business as usual without innovation is simply not a viable option for the longer term. It’s a sentiment that has been made explicit or at least implied by the government on multiple occasions.

If we are to move beyond merely paying lip service to lofty slogans, there must be true commitment manifested in concrete actions. When it comes to the new talent-attraction scheme, ensuring mobility between Macau and Hengqin and addressing the needs of local SMEs and Macau’s youth, there is little room for failure.

Ho Iat Seng’s next Policy Address is therefore of paramount importance, as it will be the first delivered from steady, post-pandemic ground and the one that will encompass the last year of his first five-year term.

On the human resources front, we would do well to note the more ambitious line pursued by Hong Kong authorities. The difference in size of the two SARs’ economies notwithstanding, their official figures are impressive: as of last May – already six months into Hong Kong’s new Top Talent Pass Scheme – authorities had already approved 49 thousand applications out of the 84 thousand received. Why doesn’t our city take bolder, more assertive steps to ensure its attractiveness to top talent on a global scale?

Don’t get me wrong; Macau is a pearl, a unique place where many non-locals can have a fruitful and unforgettable life experience. But there is still a huge cache of untapped potential to exploit, if the city can get this right. The truth, no matter how self-evident, remains: it’s all about striking a balance between local and imported labour, between economic growth and sustainable development, between security and openness and innovation. 

So throw the windows open and don’t panic about the flies; we need that big breath of fresh air.

Professional services giant PricewaterhouseCoopers suggests a way to get the “1+4” diversification strategy right. First, make the most of “1” (integrated tourism), then integrate the “4” (emerging sectors) into the existing capacity and maximize resources. The ability to attract talent and make the most of Henqgin will play a key role, says PwC China’s James Chang.

Finding the elixir of enduring economic diversification has been an aim of local and central authorities when it comes to the Macau SAR. In recent years the call to reduce reliance on the city’s core industry – gaming – has sounded stronger than ever, something mirrored in the strings attached to the new ten-year gaming concessions, where non-gaming took centre stage.

The recipe put forth by authorities lies in the “1+4″ formula,  where 1 stands for tourism +” cross-sector integration and 4 refers to four nascent industries, namely the “Big Health” industry; modern financial services; high and new technology; and convention and exhibition, sports, and the commercial and trade industries.

James Chang, Managing Partner of Regional Economic Clusters and South Markets of PwC China, told Macau Business that “the 1+4 strategy is definitely a good direction and strategy to go down.”, one that is “also in line with Beijing’s call for high quality development.” In pursuing this strategy, however, it would not be realistic to expect swift results regarding the emerging sectors. Therefore, a strong focus on diversification based on integrated tourism is set to yield immediate results. ” It’s doable” and “it’s good enough in the short-term”, he stresses, “because Macau already has the foundations, such as great resorts and hotels and infrastructure, as well as talent to support that”.

Talent attraction

For the city to transform itself into a high-tech and modern finance hub “requires very different type of talent,” James Chang notes.

Human capital is indeed key. Since early July, the New Legal Regime for Recruiting Qualified Staff  has been in effect, aimed at tackling the shortage of specialised professionals in Macau and leveraging economic diversification.

“I think it’s a good policy, a step in the right direction”, Mr Chang says, while noting that the key lies in the execution, amid an intense regional competition for skilled talent, as Hong Kong, Singapore, and cities in the Greater Bay Area have all rolled out ambitious plans to lure highly-skilled professionals.

“That’s why I think Macau needs to think about it differently, both in terms of the areas that you are focusing on and regarding the lifestyle people can enjoy here.” The SAR can fashion itself as an attractive and convenient place where one can find a work-life balance you wouldn’t enjoy elsewhere, he suggests.

The city’s culture, gastronomy, heritage, and way of life may emerge as factors influencing top talents to prefer Macau to Singapore or Hong Kong.

Another factor is Hernqgin, as neither Hong Kong nor Singapore have at its disposal a neighbouring island like the In-depth Cooperation Zone. “Hengqin is a unique connector to integrate into the Greater Bay Area and it’s important to leverage on  the Zone to attract people.’

With regards to Hengqin’s development, James Chang stresses that it would be pivotal to ensure the free flow of merchandise, capital, information, and data. “But right now, there’s still a way to go to fully attain those target”

 It all boils down to connectivity, he underlines. On the one hand basic layers of infrastructure; on the other, public services and streamlining of professional mutual recognition and arrangements concerning   medical services, education, or pensions

Leveraging Hengqin

Mr Chang acknowledges that Chinese authorities need to balance several factors as China is a big country. While pushing for innovation and elevating the In-depth Cooperation Zone, there is a need to address how to ensure and protect data, information, or capital, so that this opening here doesn’t affect the overall development at national level.”

In any case, in order to take Hengqin’s development to a higher level, “the financial system and even the legal system need to be reformed to be more streamlined.”

With regards to the four nascent industries, James Chang believes that in addition to the existing installed capacity and dynamic of the MICE sector, “big health” investment could bear fruits as it can be easily associated with leisure. “Macau already has all these facilities and infrastructure to support leisure, so that could be expanded to big health, hopefully supporting that with innovation in medicine, both western and traditional Chinese medicine”.

Financial services have been designated as a promising area for boosting economic diversification. Investment from iconic players is set to have a positive ripple-effect. James Chang underscores the recent investment led by Charles Li, former chief executive at Hong Kong Exchanges and Clearing Limited (HKEX), who launched Micro Connect, a new financial market platform based in Macau.

Despite facing competition from top-tier financial hubs such as Hong Kong, Shanghai, or Shenzhen, Macau could succeed in developing niche segments, such as green finance and digital finance, as well as debt markets, bonds, and asset management services, according to James Chang, someone with a lifelong career in finance. “You have more chances in these niches because these are relatively new areas, and there’s still a lot of demand.”

The road for a transition from primarily a gambling hub towards a more diversified economic structure is underway, and “Macau definitely needs to diversify towards high-quality development and leverage Hengqin’s role”.

And be “bold and innovative”, he concludes.

《商訊》2023年8月 | 總監之言 – 馬天龍

城市重新開放已逾半年，新常態的輪廓日益清晰。自步入5月，博彩毛收入一直徘徊在澳門幣150億元至160億元水平，7月更憑藉166億元的佳績寫下了疫後時代最佳表現，為理想中的持續發展奠定了基礎。若2023年12個月都能夠保持這一月度平均收入水準，不但行業全年整體收入將輕鬆超越特區政府提出的1,300億元預測，政府也或許無需動用庫房的應急基金。回想濠江小城去年夏天在嚴厲清零政策下的負隅頑抗，這一年的變化可謂大起大落。

季度業績顯示，博企現時的EBITDA數據大多保持穩定和正向趨勢，有的甚至已經恢復盈利。經歷了三年的巨額虧損，博企終於踏上了陽光明媚的康莊大道。現在，他們仍需面對新一份十年期娛樂場幸運博彩經營批給合同中提出的新挑戰。

事實上，我們正見證著政府與博企之間全新關係模式的誕生：其中，政府要求博企執行一直以來由行政當局總攬的任務。然而，這一轉變未如人們根據公開聲明所想像的那樣順利。考慮到娛樂場幸運博彩經營批給公開競投中提出的一系列非博彩要求，難道這項任務之“艱鉅”不是意料之中的嗎？是的，但動手落實之時，採取靈活的方式、避免撒網過大才是關鍵所在呀！

這將多元化問題的核心問題、政府和博企在推動經濟適度多元化方面所扮演角色置於聚光燈之下。除了“1+4”公式自上而下、富有遠見的設計之外，務實、靈活、貼合實際的方法是避免因能力與期望之間差距導致失望的關鍵。

若我們合理地描繪短期、中期和長期的畫面，那將是怎樣的景象？

新推出的《澳門特別行政區經濟適度多元發展規劃（2024-2028年）》藍圖諮詢文件詳細闡述了現有策略，並為未來五年設定了多項關鍵目標。正如多位專家所強調，我們首先要聚焦“1”，即“旅遊+”策略，充分發揮行業潛力，這一策略已初露雛形，預計短期內將取得良好成效。繼而，我們才可將其他組件整合到現有的基礎設施和人力資本中。

城市核心產業（博彩/旅遊業）的“垂直”多元化已是老生常談的話題。現在，一觸即發之勢終於來臨，我們或許終於能夠將此提升至夢寐以求高度。正如我們多番強調，人力資源、客戶服務和基礎設施是成功的關鍵。在交通方面，令人遺憾的是，過去數月，尤其是在特區熱情地擁抱蜂擁而至的旅客之時，本地的士問題仍懸而未決。迅速採取行動勢在必行！如何才能實現這一目標？快速地、大量地增加的士牌照數量、引入類似Uber（或類似滴滴）的乘車共享平台並且加強監管。辦法總比問題多，希望這些阻礙不會被置若罔聞。

在旅遊業以外的領域，例如高科技、現代金融和大健康等指定領域的多元化進程中，引進新的外國直接投資是發展的方向，也是當局的目標。只有藉助令人信服的成功商業案例，這些領域的世界級參與者才會受到濠江的雄心壯志吸引。這會否被視為超出了城市的承受能力？無論如何，我們必須要昂首闊步地向前邁進，城市經濟結構的有效升級將取決於此。與此同時，我們還應該銘記：進一步實現“橫向”多元化有賴各界的長期努力。

透明度

耗資 4,200 萬元在路環建造一座新觀音像的計劃所引起的爭議提醒我們，在某些情況下，對透明度的期望可能仍然是一座過高的橋樑。政府因居民反對而決定停止這個有爭議的項目是正確的舉動，當局最終提供的解釋及聽取大眾意見的承諾也是正確的。然而，為何整個耗資14億元的多功能青少年活動綜合區計劃在7月就推出，卻未徵詢公眾意見，仍存疑問。

可以理解的是，此次事件引起了居民的共鳴，人們希望能夠吸取寶貴的教訓，並理所當然地期望當局能具透明度和問責制。

INTERVIEW | GAMING

The Philippine gaming regulator wants to fast-track the privatisation of the casinos it operates and improve the country’s reputation in anti-money laundering efforts. With a sound recovery underway, Alejandro H. Tengco does not see Macau as a threat and looks to strengthen cooperation with the SAR’s regulatory authority

The Philippine Amusement and Gaming Corporation (PAGCOR) wears two hats: It serves as the regulator for the entire industry across the country and also operates a number of casino establishments. However, the days of this dual role are numbered, as the government entity is paving the way for privatising its gaming operations.

In an interview with Macau Business, PAGCOR’s Chairman and CEO, Alejandro H. Tengco said he expects big foreign players, including companies operating in Macau, will be joining the privatisation process, which he hopes can be launched in 2025.

Fighting money laundering is another priority, he stresses, as the country aims to be removed from the grey list of the global anti-money laundering watchdog, Financial Action Task Force (FATF), by next year. Mr Tengco is upbeat about the gaming market trend, both land-based and online, a segment that is booming in the country.

You took office about a year ago against the backdrop of challenging and very interesting times, as the Philippines was starting to recover from the COVID-19 pandemic. What have been the major highlights of tasks PAGCOR has been carrying out?

Alejandro H. Tengco – One of the industries that was really hardly hit by the COVID-19 pandemic was the gaming industry. There were a couple of months that the Philippines, just like elsewhere around the world, was in hard lockdown. We had to close the inland casinos, and then after a year or so came the omicron variant, in the first quarter of 2022, when all casinos were instructed to close once again. So I came to this position when we were trying our best to recover from the difficult times of 2020, 2021, and 2022. And up to today, we are still awaiting the arrival of foreign tourists, namely Chinese. In 2019, there were 2.2 million Chinese tourists that came to Manila. And we have not seen even 10 per cent of that number. That’s why our projections are conservative in the sense that we have not included in our projections the possibility of a great number of Chinese tourists coming into the Philippines in the second half of 2023.

And when, when do you think we may see that happening, , the return on mass of mainland Chinese tourists?

A. H. T. – The Chinese government is basically asking their citizens to focus on the domestic market first, meaning that later on, hopefully, they will ease the restrictions and really make them travel anywhere. And I believe that because of the numerous attractions in tourism that the Philippines offers, they will definitely be visiting the Philippines very, very soon. And if they do so, that will mean additional income for the gaming industry.

Let’s take for instance the projection that you made that by the end of the year we will have seen a gross gaming revenue recovery to 92 per cent of pre-COVID

A. H. T. – Barring any new variant or new pandemic, or any geopolitical problems within Asia, I am very confident that we will be able to achieve this year 92 per cent  GGR of the pre pandemic levels. Not mentioning that there is a possibility that our foreign tourists will be coming in. That means if that happens, there is a big chance that we will be close to the pre pandemic numbers.

Still on market dynamics, the market, the industry have been talking about the Philippines as, in many ways, the most exciting and dynamic gaming market in the region. What are the main driving forces behind this trend? First move’s advantage when it comes to reopening? Other factors?

A. H. T.  – We have a few foreign  players coming from selected countries. We have Koreans, Japanese, Indonesians, and Singaporeans. So far, these are the main drivers. And more importantly, I think there is, if there is, revenge hopping, revenge travelling, revenge eating, and I think revenge gambling are also main drivers of these numbers.

Talking about regional competition. We are here in Macau, and the SAR is also coming back post-pandemic. How is Macau seen from the Philippines? 

A. H. T. – Macau has been here from way back. In fact, if you’re talking about land-based casinos, the pioneer is none other than Macau. I believe we can coexist. There are different attractions between the Philippines and Macau. One is that, as a lot of people say, there are many things that you can do more of in the Philippines compared to Macau. Number two, Filipinos are known to be more hospitable and warmer than the people around here. So I think we can both coexist. I do not see Maha as a threat, primarily because we have both co-existed in the last few years, even pre pandemic.

Now, what maybe we should do is to continue to collaborate, because if Macau is pioneer in land-based casinos in the Philippines, we are the pioneers in online gaming. So maybe we can share some information. If they want to open up and regulate online gaming, then we can share our experience with Macau.

And how do you see things moving forward in terms of cooperation from a regulatory perspective?

A. H. T. Well, in terms of cooperation, we are moving towards privatisation. PAGCOR today is the regulator and the regulated.

Because we are wearing two hats. We, we give out licenses. On the other hand, we are also operating our casinos. So in this regard, um, I’m ready to, to learn from Macau  because they’ve been purely a regulator. So that is a model that I believe we should pursue and we intend to pursue. And I tell people that the biggest challenge I will have in my life is to be able to implement the privatisation program of  PAGCOR.

What’s the timeline for privatisation?

A. H. T. – We have a few things that we have to do. One, we have to clean up our properties and renovate them. They have not been touched for the last few years, since we issued licences to the different land-based casino players in the Philippines.

 Two, we are trying to upgrade our equipment. As of now, we need to replace close to 3,500 slot machines in our properties. I’m targeting that by the first quarter of 2024, the delivery of these machines will arrive in Manila.

So with the new machines, hopefully we can attract more people to play and that being the case, that gives the properties a better value, of course, because you gain more GGR, you gain more customers, and the price that you can ask for will be higher than what it’s today.

Number three, we are launching CasinoFilipino.com. And that is another product that can help us gain more value. Because internet gaming is growing exponentially.  So we cannot miss out on that. And then finally, we are upgrading our IT infrastructure because one of the first things that I noticed is that our IT infrastructure is still not at par with what it should be.

So if we are able to achieve and address these four issues, then I look at 2025, maybe towards the second half of 2025, as the time when the process of privatisation will start to happen.

What players do you want to attract in the privatisation process? 

A. H. H. – The big players. The big players, yes. Yes.

Which players do you envision bidding for the licence? 

A. H. T.  – I would l be very happy if the big players here in Macau would invest in our privatisation efforts. There is already interest coming from some who I do not want to name, but there they are. They have operations in Macau and other jurisdictions around the world.

We also have our local integrated resorts in the Philippines, which are also very interested.

Cybersecurity is a main issue and concern,  as you have pointed out in your speeches, and that is an area where Macau has made significant progress over the past few years. Yes. Do you see cooperation taking shape on that front? 

A. H. T. –  Yes, I think this is one of the areas where we can cooperate with the regulatory entity of Macau, to help each other.

Our cybersecurity is very weak at this time. That is the reason why I, together with the board, have put emphasis on the need to make an upgrade.

Have you been in contact with Macau’s gaming regulator (DICJ)? Have you been holding meetings? 

A. H. T.  – I have not yet, but I intend to do so very soon. I’m just trying to, my best first to, to work on things that I have to concentrate and focus on  and then once I think I am able to, to say that we are more stable, then my intention is to, to get in touch with the regulators in Macau.

In addition to Macau, we have Singapore as a well-established gaming jurisdiction and, on the other hand, the market in Indochina and the potential emerging markets of Thailand and Japan. How do you anticipate regional competition playing out?

A. H. T. – With regards to Japan and Thailand, we’ve been hearing about these plans for quite a while, and nothing has happened. And as I would say, I’d only treat them as competition when it happens, because even when they give out their licences, if they do so, they will still have so many years for them to start up.

In your stated mission as PAGCOR head, you have repeatedly stressed the importance of tackling the problems generated by Philippine Offshore Gaming Operators (POGOs) as well as illegal gambling. Can you give us a brief overview of what is being done and what the future steps are in order to try to bring this under control?

A. H. T.  – With regards to the overseas gaming licences (POGOs), what we have been making sure of since I assumed office is that they are in the gaming business and should be in the gaming business alone.

However, what is happening is that when using their licence, some have veered away from what they’re supposed to do and are involved in criminal activities.

You have crypto investment scams, and you have dating scams.

Since  the start of May, basically the last two months, we have been closely monitoring all of our licences, and we are in close coordination with the different government agencies for us to be able to stop all these illegal activities.

With regards to illegal online gaming operators, we are in close coordination with the government agency, the Department of Information and Technology. And we inform them. As soon as we are aware or are told that there is an illegal online gaming operator, we immediately inform that government agency and right away cut the internet line or internet, connectivity of these illegal online gaming operators.

The Philippines is taking the lead in terms of online gaming operations, a market that has been growing exponentially. Tell us about your regulatory approach to internet gaming. How to get it right? 

A. H. T.  – We are actually new at this. I should say that this is an evolving process. We have not perfected the structure, and it is my belief that by doing so, we will be able to come up with a structure that will be beneficial to all those who will be interested in doing so.

I should say that we have been successful, and if we are right in our projections, 25 billion pesos in GGR will be generated this year  which is not bad for our third year only in regulating online gaming. From 8 billion in 2020, now we’re at 25 billion. So in that regard, we are successful.

What we are still, and what I believe we still have to look into, is really being able to fight the illegal operators. So one of the things I’m going to do is bring down the rates that we collect so that then the illegal operators willsurrender and get a license.

About tackling money laundering practices [Philippines has been on the grey list of global anti-money laundering watchdog Financial Action Task Force (FATF)], what actions have you been taking?

A. H. T.  – We have a very strong anti-money laundering department. They are very strong in the sense that they are monitoring every activity that we have that can violate anti-money laundering laws and regulations.

We are in constant touch with the Department of Finance, Securities and Exchange Commission and with our own anti-money laundering department in the Philippines.

 So we, I can say that  so far we have been given a very good grade by the government, by the national government, in our response to anti-money laundering issues.

One of the objectives that the Philippines has is that, hopefully, by early next year, we will be taken off the grey list.

Do you have an action plan and further measures in the pipeline to meet that target?

A. H. T.  – We not only PAGCOR but the entire Philippine government, has an action plan. The main objective is that by 2024, we will be out of the grey list.

This is very important for me as president of the PAGCOR Board. And it’s not only about the image of PAGCOR, but also the image of the president of the Philippines and that of the country in general.