GDP increased by 15.7% year-on-year in real terms in the first half of 2024, surpassing MOP200 billion again since the last time in the first half of 2019
Information from the Statistics and Census Service (DSEC) indicated that Gross Domestic Product (GDP) expanded by 15.7% year-on-year in real terms to MOP204.3 billion in the first half of 2024. The overall economic output returned to 86.2% of the level in the same period in 2019, with GDP surpassing the MOP200.0 billion mark again since the last time in the first half of 2019. Exports of services and domestic demand (including private consumption expenditure, government final consumption expenditure and investment) showed respective growth of 17.6% and 2.8% year-on-year.
Exports of other tourism services rose by over 20% in the first half of 2024 as against the first half of 2019
In the first half year, exports of services continued to thrive on account of the increases in the number of visitor arrivals and tourism activities. Exports of gaming services and exports of other tourism services swelled by 39.9% and 2.8% year-on-year respectively, and exceeded their corresponding levels in the same period in 2019 by over 20%. On the other hand, imports of services decreased by 6.2%. With respect to merchandise trade, exports and imports of goods dropped by 15.9% and 3.3% year-on-year respectively.
Private consumption expenditure showed a year-on-year rise of 7.8% in the first half year
Private consumption expenditure increased by 7.8% year-on-year in the first half of 2024, driven by a rise in the income of residents amid the improving local economy and labour market. Household final consumption expenditure in the domestic market and abroad grew by 7.0% and 13.5% respectively. Meanwhile, government final consumption expenditure reduced by 14.0% year-on-year in the first half year following the cessation of the livelihood subsidy scheme. Net purchases of goods and services fell by 31.3% while compensation of employees went up by 1.0%.
In the first half year, gross fixed capital formation rose by 9.8% year-on-year, as enterprises continued to step up their investments in Macao amid an improving business environment. Private equipment investment recorded a growth of 29.8% year-on-year; besides, private construction investment went up by 14.7% owing to a continued rise in the investments in residential building construction and large-scale construction projects of integrated resort enterprises. Meanwhile, government equipment investment surged by 69.9% year-on-year, whereas public construction investment dipped by 10.8% due to the completion of some large public works.
Analysed by quarter, GDP expanded by 6.9% year-on-year in real terms in the second quarter of 2024 due to a relatively high base of comparison in the same quarter last year; the overall economic output recovered to 85.2% of its size in the same quarter of 2019. Exports of services, the key area of economic growth, increased by 6.1% year-on-year, with exports of gaming services rising by 22.6%; however, exports of other tourism services fell by 9.5%, mainly due to a high comparison base resulting from the release of the pent-up demand of visitors amid the gradual relaxation of travel policies during the same period of the previous year. Meanwhile, domestic demand rose by 2.2% year-on-year, with private consumption expenditure and gross fixed capital formation expanding by 4.8% and 6.7% respectively; in contrast, government final consumption expenditure decreased by 7.3%. The implicit deflator of GDP, which measures the overall changes in prices, went up by 0.9% year-on-year to 106.3.
