In brief
Macau's gambling sector is recovering well after a deep recession prompted by the mainland government's crackdown on corruption. The recovery will be supported by the opening of new projects on the Cotai Strip in 2017-18, although these may increase the level of competition for customers in the casino sector. Although gambling spending will rise in the next two years, it is unlikely to surpass previous peaks. Government efforts to encourage economic diversification are unlikely to succeed.
Featured analysis
The high rollers return
A resurgence in VIP gambling will lift short-term prospects but should not divert from the goal of diversification.
More
Policy on pause
With a gambling recovery looming, there has been little pressure on the government to advance bold reforms.
More
Back to the negotiating table
A Trump presidency has the potential to affect Asia's delicate balance of power profoundly.
More
Economic growth
| (% unless otherwise indicated) | |||
| 2016 | 2017 | 2018 | |
|---|---|---|---|
| US GDP | 1.6 | 2.2 | 2.1 |
| OECD GDP | 1.7 | 1.9 | 1.7 |
| World GDP | 2.2 | 2.6 | 2.4 |
| World trade | 1.9 | 2.9 | 2.7 |
| Source: The Economist Intelligence Unit | |||
Inflation indicators
| (% unless otherwise indicated) | |||
| 2019 | 2020 | 2021 | |
|---|---|---|---|
| US CPI | 1.3 | 1.7 | 1.9 |
| OECD CPI | 1.6 | 1.9 | 1.9 |
| Manufactures (measured in US$) | 6.0 | 3.7 | 4.7 |
| Oil (Brent; US$/b) | 59.0 | 61.5 | 64.0 |
| Non-oil commodities (measured in US$) | -0.5 | -1.5 | 2.1 |
| Source: The Economist Intelligence Unit | |||
Quick links
Financial variables
| (% unless otherwise indicated) | |||
| 2019 | 2020 | 2021 | |
|---|---|---|---|
| US$ 3-month commercial paper rate (av; %) | 0.8 | 0.2 | 0.5 |
| Y 3-month money market rate (av; %) | 0.1 | 0.1 | 0.1 |
| Y:US$ (av) | 100.5 | 100.2 | 99.9 |
| Rmb:US$ (av) | 7.39 | 7.18 | 7.03 |
| Source: The Economist Intelligence Unit | |||