Summary of social and economic development of Macao

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Government of Macao Special Administrative Region Statistics and Census Service

Summary of social and economic development of Macao

FEBRUARY / 2006 No. 2

OVERALL SOCIAL AND ECONOMIC SITUATION As the Chinese New Year holidays extended to the beginning of February, the number of visitor arrivals recorded a rather high growth rate and gross gaming receipts surged. In terms of external trade, exports and imports of goods continued to increase. In regard to Public accounts, fiscal surplus was still recorded.

Moreover, under the rapid development of the gaming and tourism sector, the employed population continued to grow and unemployment rate remained at the level of 3.9%. Regarding the property market, the number of transactions was still situated at a relatively low level. The consumer price index continued to rise owing to the increases in rentals for housing and the prices of gas.

GROSS DOMESTIC PROCUCT In the fourth quarter of 2005, the Macao’s economy increased 8.9% in real terms, spurred by strong growth in investment and the sharp rebound of the exports of goods. In annual terms, the economy recorded an increase of 6.7% in real terms in 2005, with GDP at current prices reaching MOP 92.59 billion and per-capita GDP MOP 194,458.

GAMING AND TOURISM In February 2006, gross gaming receipts surged 40.3% to MOP 4.38 billion.

In the first two months, the cumulative gross gaming receipts rose14.8% to MOP 7.96 billion.

The number of visitor arrivals grew 16.5% to 1,773,926 in February 2006.

Visitors from Mainland China and Hong Kong registered increases of 20.9% and 10.4% respectively, while visitors from Taiwan, China decreased 8.1%. In the first

two months of 2006, visitor arrivals reached 3,435,319, up 17.5%.

CONSTRUCTION AND REAL ESTATE

In January 2006, the number of units started was 45, up 25%, but the related gross floor area was 3,750 m², down 63.4%. Moreover, the number of units and gross floor area in buildings completed grew significantly to 310 and 163,443 m² respectively. Regarding the property market, 1,317 units were transacted in February 2006, 287 units less than the previous month, reflecting the property market still in progress of adjustment.

E X T E R N A L T R A D E

In February 2006, total export value amounted to MOP 0.97 billion, up 21.7%, while value of imports reached MOP 2.10 billion, up 42.9%. As imports rose sharply, Macao’s trade deficit widened to MOP 1.13 billion. In the first two months, the cumulative export value amounted to MOP 3.03 billion, up 33.3%, as the value of Textile & garment exports, which accounted for 77.1% of the total exports, increased 39.2%. The cumulative import value reached MOP 4.74 billion, up 27.6%, mainly due to the increases registered in Fuel & lubricants (63.6%), Capital goods (29.3%) and Consumer goods (23.9%). Trade deficit at the end of February was MOP 1.70 billion.

CONSUMER PRICE INDEX

The Composite CPI for February 2006 was 106.76, with year-on-year increase of 5.4%, or up by 0.36% over the previous month. The increment was attributable to the increase in rentals for housing, rising prices in LP gas, fruit, vegetables and meals bought away from home, which was coupled with higher charges for domestic services. As a result, the indices of Housing & fuels, Household goods & furnishings, and Food & non-alcoholic beverages went up by 2.00%, 0.85% and 0.68% respectively. For the 12 months ended February 2006, the average Composite CPI rose by 4.8% over the previous period.

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Printed in April 2006

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PUBLIC ACCOUNTS

In February 2006, total public revenue, excluding Autonomous Agencies, decreased 0.1% to MOP 1.71 billion, among which gaming tax revenue accounted for 80.1% of the total, down 4.1% to MOP 1.37 billion. On the other hand, total public expenditure, excluding Autonomous Agencies, reached MOP 0.57 billion, down 14.2%. At the end of February, the fiscal surplus amounted to MOP 1.81 billion.

EMPLOYMENT

The employed population was 253 thousand for the period from December 2005 to February 2006, up 10.6%. The unemployment rate was 3.9%, same as the previous period (November 2005 to January 2006), but down 0.2 percentage points year-on-year. At the end of February, the number of non-resident workers increased 58.1% to 44,499.

MONEY

At the end of January 2006, narrow money supply M1 and broad money supply M2 reached MOP 13.68 billion and MOP 142.16 billion respectively.

Besides, domestic loans and advances to the private sector increased 20.4% to MOP 43.43 billion. Foreign exchange reserves rose 24.8% to MOP 54.59 billion.

* Growth rates mentioned in this analysis are comparisons with the same period of the previous year, unless stated otherwise.

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SUMMARY OF SOCIAL AND ECONOMIC DEVELOPMENT OF MACAO FEBRUARY / 2006 No. 2

I - GROSS DOMESTIC PRODUCT

Current prices 10⁶ MOP Q4/2005 26 940.53 15.0 92 590.98 11.7

Real growth rate % Q4/2005 8.9 .. 6.7 ..

II - GAMING AND TOURISM

Gross gaming receipts 10⁶ MOP Feb/2006 4 378.42 40.3 7 962.39 14.8

Visitor arrivals ^no. Feb/2006 1 773 926 16.5 3 435 319 17.5

Mainland China ^no. Feb/2006 1 006 275 20.9 1 934 002 16.7

Hong Kong no. Feb/2006 546 770 10.4 1 075 745 23.3

Taiwan, China ^no. Feb/2006 111 968 -8.1 205 222 -9.3

III - CONSTRUCTION AND REAL ESTATE

Gross floor area of buildings started m² Jan/2006 3 750 -63.4 3 750 -63.4

Units of buildings started ^no. Jan/2006 45 25.0 45 25.0

Gross floor area of buildings completed m² Jan/2006 163 443 1 042.6 163 443 1 042.6

Units of buildings completed ^no. Jan/2006 310 30 900.0 310 30 900.0

Building units transacted ^no. Feb/2006 1 317 -44.1 2 921 -46.4

IV - EXTERNAL TRADE

Exports 10⁶ MOP Feb/2006 968.73 21.7 3 032.96 33.3

Imports 10⁶ MOP Feb/2006 2 098.52 42.9 4 736.18 27.6

Trade balance 10⁶ MOP Feb/2006 -1 129.78 .. -1 703.21 ..

V - CONSUMER PRICE INDEX

(7/2004 to 6/2005 = 100) Feb/2006 106.76 5.4 .. 4.8^a

VI - PUBLIC ACCOUNTS

Revenue excluding Autonomous Agencies 10⁶ MOP Feb/2006 1 706.78 -0.1 3 610.56 3.5

Revenue from gaming tax 10⁶ MOP Feb/2006 1 366.73 -4.1 2 944.22 4.3

Expenditure excluding Autonomous Agencies 10⁶ MOP Feb/2006 570.51 -14.2 1 795.81 1.9

Balance 10⁶ MOP Feb/2006 1 136.27 .. 1 814.75 ..

VII - EMPLOYMENT

Employed population 10³ Dec/2005-Feb/2006 253 10.6 250 9.5

Unemployment rate ^% Dec/2005-Feb/2006 3.9 -0.2^b 3.9 -0.3^b

Non-resident workers in Macao no. Feb/2006 44 499 58.1 42 496 54.2

VIII - MONEY

Narrow money supply (M1) 10⁶ MOP Jan/2006 13 681.9 -8.7 12 788.9 -4.8

Broad money supply (M2) 10⁶ MOP Jan/2006 142 161.2 15.6 135 659.8 12.2

Domestic loans and advances to the private sector 10⁶ MOP Jan/2006 43 425.1 20.4 42 509.5 19.8

Foreign exchange reserves 10⁶ MOP Jan/2006 54 593.5 24.8 53 429.2 22.7

a Annual rate of change ended February 2006.

b Percentage difference from the same period of last year - positive value corresponds with increase and negative value corresponds with decrease.

.. Not applicable

Principal statistical indicators of Macao Unit Latest period Latest period

Value Year-on-year % change Value

Statistics and Census Service

Cumulative

Year-on-year % change

3 Year-on-year % change

Value

Latest period

Value Year-on-year % change Previous period

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FEBRUARY / 2006 No. 2 Statistics and Census Service

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SUMMARY OF SOCIAL AND ECONOMIC DEVELOPMENT OF MACAO

3 - EXTERNAL TRADE

0 500 1 000 1 500 2 000 2 500 3 000 3 500

Feb/2005 Mar/2005 Apr/2005 May/2005 Jun/2005 Jul/2005 Aug/2005 Sep/2005 Oct/2005 Nov/2005 Dec/2005 Jan/2006 Feb/2006 10⁶ MOP

Exports Imports

5 - UNEMPLOYMENT RATE

3.9%

3 4 5

Dec/2004 - Feb/2005

Jan/2005 - Mar/2005

Feb/2005 - Apr/2005

Mar/2005 - May/2005

Apr/2005 - Jun/2005

May/2005 - Jul/2005

Jun/2005 - Aug/2005

Jul/2005 - Sep/2005

Aug/2005 - Oct/2005

Sep/2005 - Nov/2005

Oct/2005 - Dec/2005

Nov/2005 - Jan/2006

Dec/2005 - Feb/2006

%

2 - GAMING AND TOURISM

0 500 1 000 1 500 2 000

Feb/2005 Mar/2005 Apr/2005 May/2005 Jun/2005 Jul/2005 Aug/2005 Sep/2005 Oct/2005 Nov/2005 Dec/2005 Jan/2006 Feb/2006 10³

0 1 000 2 000 3 000 4 000 5 000 10⁶ MOP Visitor arrivals

Gross gaming receipts

1- GROSS DOMESTIC PRODUCT

-10 0 10 20 30 40 50 60

Q1/2003 Q2/2003 Q3/2003 Q4/2003 Q1/2004 Q2/2004 Q3/2004 Q4/2004 Q1/2005 Q2/2005 Q3/2005 Q4/2005

%

0 5 000 10 000 15 000 20 000 25 000 30 000 10⁶ MOP

Gross Domestic Product, at current prices Real growth rate

4 - CONSUMER PRICE INDEX ^{4.8 %}

0 1 2 3 4 5 6

Feb/2005 Mar/2005 Apr/2005 May/2005 Jun/2005 Jul/2005 Aug/2005 Sep/2005 Oct/2005 Nov/2005 Dec/2005 Jan/2006 Feb/2006

%

98 100 102 104 106 108 Index

Global index Annual Inflation rate