Six casino companies have agreed to invest a total of $15 billion in Macau over ten years, with more than 90 percent of the money pledged to non-gaming activities.
In line with the easing of Covid quarantine rules for inbound arrivals, Macau has renewed the casino licenses of six companies — MGM China, Galaxy Entertainment, Sands China, Melco Resorts, Wynn Macau and SJM Holdings — for the next 10 years.
Genting Group lost the bid even as reports earlier had stated that the Malaysian goup was a strong contender for a new license promising the biggest shakeup in Macau in over two decades.
As the new contracts come into effect on January 1, the casino firms have promised to spend almost $13.5 billion on “exploring overseas customer markets and developing non-gaming projects,” the government said.
The investment on gaming projects would only be around $1.2 billion.
Macau has been looking to diversify its tourism offerings for some time, looking to position itself as not just a hub for the gaming industry.
In recent years, almost 60 percent of the country’s gross domestic product has come from the gaming sector.
However, the casino closures as a result of China’s zero-Covid policy dealt a blow to operators who had been losing millions of dollars a month since March 2020.
Doing away with its institutional quarantine, Macau announced last week that inbound arrivals would have to quarantine at home for five days while restricting outbound travel movements for another three days.
Earlier, travelers had to institutionally quarantine for five days in addition to three days of home quarantine.