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Subject

The political and economic outlook for Macau.

Significance

Macau’s economy was damaged by a drop in gaming revenues caused by President Xi Jinping’s anti-corruption campaign that scared away VIP gamblers and junkets. The decline has now levelled out. Macau has received large investment from mainland China to diversify the economy and boost non-gaming revenues.

Impacts

Macau will face greater competition for Chinese gamblers from other regional centres.

Use of Macau as a gateway for getting money out of China will become much harder.

Tourism and entertainment will contribute a growing amount to GDP growth.

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