Gross Value Added of all economic activities of Macao registered nil growth in real terms in 2016 after declining by 21.1% year-on-year in 2015, underpinned by improvement in business conditions of Gaming & Junket Activities, coupled with satisfactory performance of some service industries such as Financial Activities (including Banking, Insurance & Pension Funding) and Hotels & Similar Activities.
The relative importance of the secondary sector to total Gross Value Added fell from 7.8% in 2015 to 6.6% in 2016, owing to a decrease in the share of Construction. Meanwhile, with the increased shares of Financial Activities, Real Estate Activities and Renting & Business Activities, the relative importance of the tertiary sector rose from 92.2% to 93.4%, in which the share of Gaming & Junket Activities decreased by 0.9 percentage points year-on-year to 47.2%, and that of non-gaming services increased by 2.0 percentage points to 46.2%.
Analysed by primary distribution of income, Taxes on Production and Imports, Operating Surplus and Compensation of Employees amounted to MOP93.1 billion, MOP157.5 billion and MOP108.9 billion respectively in 2016, accounting for 25.9%, 43.8% and 30.3% of GDP. As Compensation of Employees increased faster than GDP in 2016, the relative importance of Compensation of Employees to GDP went up by 0.8 percentage points year-on-year. The share of Operating Surplus remained similar to 2015 while that of Taxes on Production and Imports dropped by 0.9 percentage points.
Changes in Gross Value Added of Economic Activities
Gross Value Added of the secondary sector declined by 18.6% in real terms, with that of Construction and Manufacturing dropping by 22.2% and 6.9% respectively, and that of Electricity, Gas & Water Supply rising by 6.6% in real terms. On the other hand, Gross Value Added of the tertiary sector increased by 1.6% in real terms; except for Gaming & Junket Activities, Wholesale & Retail, and Other Community, Social & Personal Services, Households with Employed Persons that recorded decreases of 3.5%, 1.3% and 3.3% respectively in real terms, Gross Value Added of other industries rose to different extents in real terms.
Changes in Industrial Structure
The relative importance of the secondary sector to total Gross Value Added (6.6%) decreased by 1.2 percentage points year-on-year, in which the share of Construction dropped by 1.2 percentage points to 5.3%, and the shares of Manufacturing (0.6%) and Electricity, Gas & Water Supply (0.7%) both remained similar to 2015.
The relative importance of the tertiary sector rose from 92.2% in 2015 to 93.4% in 2016, up by 1.2 percentage points. The shares of Wholesale & Retail (5.3%) and Gaming & Junket Activities (47.2%) fell by 0.3 and 0.9 percentage points respectively, while the share of Other Community, Social & Personal Services, Households with Employed Persons (2.7%) was similar to that in 2015. The shares of all other industries showed different rates of growth, with notable increases being observed in: Real Estate Activities (10.6%) and Insurance & Pension Funding (1.4%), both up by 0.4 percentage points, Banking (5.5%) and Renting & Business Services (4.1%), both up by 0.3 percentage points.