The Chief Executive, Mr Chui Sai On, has outlined in his policy programme for next year, three strategies to promote economic development and to overcome challenges arising from the adjustment in the gaming industry.

Mr Chui today disclosed more details on the Government’s plans when he took questions from members of the Legislative Assembly regarding the Policy Address for the Fiscal Year 2016.

Mr Chui said the Government’s three strategies included: strengthening support for integration of gaming and non-gaming elements in the city’s tourism offerings; accelerating economic diversification; and promoting regional cooperation.

He noted that revenue generated from non-gaming elements was about one third of the gaming industry’s takings, providing more than 45 percent of employment opportunities in large-scale resorts and hotels, compared to only 10 percent in the past.

The Chief Executive also shared with legislators the Government’s economic estimates for 2016. The Government estimated that: gross gaming revenues would be 200 billion patacas for next year, namely about 16.6 billion monthly; the local inflation rate would fall to four percent; and the unemployment rate would stay below two percent.

He said he was cautiously optimistic about the future of Macao, given that Macao has a well-established fiscal reserve system and many other favourable conditions.

After more than 10 years of rapid economic development in Macao, the Government had developed a stable financial position. It had more than 570 billion patacas in its fiscal reserve and had no outstanding liabilities, Mr Chui said.

Seizing development opportunities arising from national strategies – such as pilot free trade zones in Hengqin and Nansha in neighbouring Guangdong province – would also help Macao’s economy to thrive and achieve its goals of becoming a “World Centre for Tourism and Leisure” and a commercial and trade co-operation service platform between China and the Portuguese-speaking Countries, (collectively known as the “Centre and Platform” policy initiative), the Chief Executive stated.

Regarding housing, he said the Government was committed to fulfil residents’ housing needs. Any “idle” land plots reverting to the Government in the future would be used for public housing, he added.

Mr Chui said the Government would soon initiate planning for those undeveloped plots already designated as “idle” following a due legal process. Such designation was because holders of those land concessions had failed to develop them in the agreed period of time and under the agreed terms.

To address Macao residents’ housing needs, he had directed his team to accelerate the administrative processes regarding approval for building private sector homes. The Government’s housing policy aims to find a balance between housing supply constructed by private developers and by the public sector.

In addition, Mr Chui’s programme had proposed building 32,000 public housing units, including 4,000 supplied by private sector developers, in the new urban Zone A, a land reclamation area on Macau peninsula where the Hong Kong–Zhuhai–Macau Bridge is due to have a landing point. But such extra housing had to be supported by other urban infrastructure, in order to maintain the city’s quality of life, he stated.

Mr Chui disclosed that the Government was working on a proposal to solve a dispute regarding pre-sales of private sector homes – i.e. sales prior to construction being completed – in an unfinished local development. The proposal would be presented prior to 10 December, following careful research and also consultation with the Prosecutor-General, Mr Ip Son Sang. Mr Chui said it would not only support the interests of the affected buyers, but would also be in line with existing legislation.

When legislators asked about investment of the fiscal reserve, Mr Chui reiterated the Government would only consider large-scale or country-led projects with guaranteed returns and with low risk of losses. If it was going to make such investment it would only do so after receiving approval from the Legislative Assembly, Mr Chui added.

The Chief Executive said cultivation of local talent was crucial to a robust economy, adding the Government was determined to maintain the employment of local residents, and to provide more on-the-job training to improve their upward mobility or alternatively, horizontal mobility within their chosen career or job.

Regarding improvement of the city’s transportation, Mr Chui suggested a range of measures limiting the growth in the number of motor vehicles. These included: increasing vehicle tax; cancelling a tax waiver for passenger vehicles used in the tourism industry; and shortening the intervals at which a vehicle needed to undergo an examination for mechanical safety.

Mr Chui also mentioned a proposal for building a fourth bridge in Macao, which would connect new urban Zone A in Macao and Zone E in Taipa, as a way to ease Macao-Taipa traffic congestion.

Issues raised by legislators during today’s question and answer session covered: public housing; cultural, creative and other emerging industries; labour protection; accountability of senior civil servants; healthcare services; Macao’s preparation in managing its customary waters; reforms in public administration and government-related consultative bodies; sports and technology development.

This question and answer session followed the Chief Executive’s presentation on 17 November, of the Government’s policy programme for 2016. There Mr Chui’s theme was “Focusing on livelihoods, boosting the economy and ensuring stable development”.