Macao’s dismal gaming revenue month gives way to new policy, hope

Macao’s government on Thursday announced it will reopen its borders to visitors from 41 countries on the same day the Chinese gambling enclave reported its second consecutive dismal month for gaming revenue.

Residents of the United States and Canada are among those that will be allowed to enter the Chinese special administrative region, home to 41 casinos, including several owned by Las Vegas Sands Corp., Wynn Resorts Ltd., and MGM Resorts International.

Sands, the region’s market leader, has six resort properties, while Wynn Resorts has three and MGM, two.

Macao’s Gaming Inspection and Coordination Bureau reported the region’s casinos generated $270.7 million (U.S.) for the month, a 50.7 percent decline from August 2021’s $549.3 million.

August’s total was the second-lowest month of 2022 and resulted from border closures that were enforced to deter the spread of COVID-19. In July, casinos reported $49.2 million in gaming revenue.

Macao was in lockdown for 12 days, eventually reopening on July 22.

But a representative of the Macao government’s Health Bureau said the government had initiated the first of a multiphased approach to reopening the region.

“The government plans to allow foreigners to enter Macao in phases on the premise of balancing pandemic prevention measures and the economy,” Valerie Wong, acting division head for health promotion, said at a Thursday press conference. “In the first phase, 41 countries with better economic conditions will be allowed to enter Macao, and more foreigners of different nationalities will be allowed to enter in phases in the future.”

“The government has taken into account the impact of the pandemic on the economy of Macao over the past 2 1/2 years, and the fact that foreigners are stranded in Macao as a result of the immigration restrictions has had a negative impact on the economy of Macao,” she said. “The government plans to allow foreigners to enter Macao in phases on the premise of balancing pandemic prevention measures and the economy.”

Wong explained that in the first phase, residents of countries with higher economic conditions would be allowed to enter the region, and more foreigners of different nationalities would be allowed to enter in phases in the future. She added that the policy change was made after government officials observed the way the pandemic was being managed in other countries.

There currently are few direct flights into Macao, with flights entering the area from Mainland China and Singapore.

Wong said the ability for foreigners to leave Macao via Hong Kong would reduce the chances of them being stranded there.

While the border policy is new, persons familiar with it say quarantine and testing restrictions still remain an obstacle.

Representatives of Las Vegas Sands Corp. had no comment on the policy change. Representatives from MGM Resorts International and Wynn Resorts did not respond to inquiries for comment Thursday.

The Review-Journal is owned by the Adelson family, including Dr. Miriam Adelson, majority shareholder of Las Vegas Sands Corp., and Las Vegas Sands President and COO Patrick Dumont.

Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on Twitter.