Lionel Leong Vai Tac, the city’s Secretary for Economy and Finance, the person responsible for overseeing the city’s casino industry, affirmed that the Macau government is set to analyze various options including the possibility of legal amendment to existing terms and conditions, regarding any extension of gaming rights for Macao’s current gaming concessions and sub-concessions.
The Macau gaming industry was facing a new situation as regional competition intensified
He noted the conditions were significantly different from when the city’s government had granted the industry’s current permissions at the turn of the present century. As an attachment to the actual situation of Macau the present three concessions and three sub-concessions expire on various dates in either 2020 or 2022.
They can be extended in increments of time to a maximum of five extra years from the time of their original expiry. After that, a new concession process must take place, involving a new public tender. READ SO: ASIAN THINK-TANK WILL BOOST THE GAMBLING INDUSTRY BY AN ECONOMIC INTEGRATION
According to the government’s statement, the authorities pledged to study “all feasible directions,” including a review of whether any related laws regarding gaming concessions ought to be amended. (important fact: Macau’s current effective tax rate on casino gross gaming revenue stands at 39 percent.)
Francis Lui Yiu Tung, deputy chairman of Macau casino operator Galaxy Entertainment Group Ltd, gave some commentary during Global Gaming Expo (G2E) Asia 2017,
“We need to keep in mind there are lower-tax jurisdictions actively targeting the highly-mobile Chinese gamblers. At some point in time, depending on the prevailing conditions, there may be a need for all the stakeholders”
… Including the community, the Legislative Assembly, the government and the concessionaires to have an open and honest discussion on how to ensure long-term competitiveness,” said Mr Lui
