Connect with us

Hi, what are you looking for?

Top Stories

Editor's Pick

Macau shuts most businesses amid COVID outbreak, casinos stay open

STOCK PHOTO | Image by Kon Zografos from Pixabay

HONG KONG – The world’s biggest gambling hub Macau began its second day of mass COVID-19 testing on Monday after dozens of locally transmitted cases were discovered over the weekend, with most businesses shut but casinos remaining open.

The testing of Macau‘s roughly 600,000 residents is expected to end on Tuesday as the Chinese-ruled former Portuguese colony adheres to China’s “zero COVID” policy aiming to eradicate all outbreaks at just about any cost.

Most residents are asked to stay home, restaurants will be shut for dine-in and border restrictions have been tightened, meaning casino revenue is likely to be close to zero for at least a week and likely the coming weeks, analysts said.

Shares of Macau casinos tumbled on Monday morning with Sands China 1928.HK leading the slide falling over 8% the biggest decline since March 15.

MGM China 2282.HK, Wynn Macau 1128.HK, Galaxy Entertainment 0027.HK, Melco 0200.HK and SJM Holdings 0880.HK dropped between 4%-7%.

Macau‘s government relies on casinos for over 80% of its income, with most of the population employed directly or indirectly by the casino industry.

The latest outbreak came suddenly and has been spreading rapidly with the source still unknown, Macau‘s chief executive Ho Iat Seng said in a statement on the government’s website.

Macau‘s previous coronavirus outbreak was in October last year. An outbreak in the neighboring Chinese territory of Hong Kong this year saw more than 1 million confirmed infections, and more than 9,000 deaths, swamping hospitals and public services.

While Hong Kong has seen an increase to over 1,000 daily cases in the past week, officials have said they are unlikely to further tighten restrictions as the pressure on medical services has not increased.

Macau only has one public hospital and its services are already stretched on a daily basis. The territory’s swift plan to test its entire population comes as it keeps open the border with mainland China, with many residents living and working in the neighboring Chinese city Zhuhai.

China in contrast has not opened its borders to Hong Kong, with the financial hub largely isolated from the mainland and the international world.

Macau‘s legislature is this week due to approve an amended gaming law which will lay the groundwork for what is required from the multibillion dollar casino operators to continue operating. Read full story

“Depending on how quickly Macau is able to get the newest outbreak under control, there is risk of delay to finalization of the gaming law amendments and subsequent concession

tender process,” said Vitaly Umansky, analyst at Sanford C Bernstein. – Reuters

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Editor's Pick

The Board of Investments (BoI) has cleared Sinoma Energy Conservation (Cebu) Waste Heat Recovery Co. Inc. to serve as the operator of a 4.5-megawatt...

Forex

At a time when the world is battling to get through the dreaded coronavirus pandemic, protective face masks have come out to be the...

Editor's Pick

BEWARE the “lessons of history” as drawn by charlatans, ignoramuses, or tyrants, for they will be daft, wrong, and possibly disastrous. The self-serving amateur...

Editor's Pick

The world’s food-import bill is set to jump even more than expected to a record this year, increasing the threat of hunger, especially in...

Disclaimer: SecretsOfRichDads.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice.
The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2022 Secrets Of Richdads. All Rights Reserved.