Macau GDP Growth Slows in Q1

Macau’s economy expanded by 7.1% year-on-year in the first quarter of 2026, easing from the 7.6% growth recorded in the same period of 2025, according to preliminary estimates. Despite the slowdown, it marked the fourth consecutive period of economic expansion, supported primarily by a robust increase in exports of services due to surging visitor arrivals amid the Lunar New Year holidays and a series of major festive events. On the domestic front, private consumption expenditure continued to show steady resilience, growing by 2.8% year-on-year. However, government spending declined by 4.8%, while gross fixed capital formation fell sharply by 21.9%.

Macau’s economy grew by 7.6% year-on-year in Q4 2025, following a downwardly revised 7.3% growth in the previous quarter, in line with preliminary estimates. This marked the third consecutive month of expansion and the sharpest since the first quarter of 2024, as exports of services advanced 9.8% from 9.6% in Q3, driven by a 15.4% increase in visitor arrivals, along with gains in other tourism services (3.7%) and gaming services (18%). Gross fixed capital formation recovered (1.3% vs -25.9%), reflecting a rebound in both private and government construction investment projects. In addition, changes in inventories (-1.1% vs -3.4%) declined at a slower pace. Meanwhile, domestic expenditures weighed on the economy, with decreases in government spending (2.1% vs 6.4%) and consumer spending (0.7% vs 1.3%). For the full year, Macau’s GDP expanded by 4.7%.

Macau’s economy grew by 7.6% year-on-year in the fourth quarter of 2025, slowing slightly from an 8% expansion in the previous quarter, according to preliminary data. Despite the deceleration, this marked the second consecutive period of economic growth, driven primarily by a strong rebound in services exports, which rose 9.8% amid a surge in visitor arrivals. This increase was supported by numerous large-scale events in the Macao SAR and government initiatives aimed at attracting tourists. On the domestic demand, government spending rose 1.3%, household consumption increased 1.1%, and gross capital formation gained 0.9%. For the full year of 2025, preliminary data indicate that GDP expanded by 4.7%, easing from an 8.8% growth in 2024.