Macau’s gambling revenues soar by 42 per cent

While terms like recession, economic slowdown and unemployment continue to haunt much of the developed and developing world, one corner of the globe where such words are unheard of is Macau, the gambling capital of the world.

Gambling revenues in the Chinese territory soared 42 per cent in 2011 to $33.5 billion, as 'tourists' from China and other parts of Asia including India descended on the glittering casinos that dot the city. Of course, in 2010, revenues had jumped by 57.8 per cent and in 2012, analysts expect a further deceleration.

According to the Gaming Inspection and Coordination Bureau, Macau, gambling revenues were up by 25 per cent in December compared to year-ago figures. Not surprisingly, bullish investors continue to pour money into the territory, building massive new hotels and casino resorts.

Macau is also investing in new transport links to encourage thousands of Chinese to travel over from the mainland. A new railway line now connects Macau to Guangzhou in China, while a new road bridge links it to Hong Kong.

The Galaxy Entertainment Group opened its massive new resort, the Galaxy Macau, in May 2011; it features 450 gaming tables and 2,200 hotels. Shares of the company shot up by 62 per cent last year on the back of the new opening.

A new, 300,000 sq ft gaming resort, the Sands Cotai Central, is due to open this year. Top international hotel chains, including Holiday Inn and Sheraton, will be opening properties around the resort, providing for more than 5,800 rooms.