Macao's real economy shrinks 13.3 pct in Q1

Macao's real economy contracted 13.3 percent year-on-year in the first quarter, but the decline narrowed by 1.1 percent from last quarter, said the statistic agency on Monday.

Statistics and Census Service (DSEC) of Macao analyzed that the major causes of the economic downturn were the decrease in exports of services and investment.

External demand showed no sign of improvement, with exports of goods and services fell by 24.6 percent and 13.7 percent respectively, of which exports of gaming services dropped by 17.1 percent, the data indicated.

Domestic demand slackened. Investment and imports of goods shrank by 31.4 percent and 19.9 percent respectively, and the private consumption expenditure declined by 2.3 percent as well.

Gross fixed capital formation, the gauge of investment, shrank by 31.9 percent on yearly basis, owing to the substantial decline in private investment, according to the DSEC.

Private investment in construction and equipment diminished by 35.0 percent and 18.9 percent respectively, bringing total private investment down by 33.0 percent. Government investment also decreased by 5.5 percent.

Slowdown in investment, as well as decline in private consumption and visitor spending, drove imports of goods down by 19.9 percent, meanwhile, exports of goods dropped by 24.6 percent from a year earlier. Endit