Ahead of Chinese President Xi Jinping’s visit to Macau last Friday, Sands China CEO and President Zhan Jun said Macau is diversifying its economy and transforming from a gaming industry into a “city of sports…city of entertainment.”
In an interview “Squawk Box Asia“
“We’re bringing NBA China games back to China, but this time in Macau,” Chum told CNBC’s Emily Tan. “We don’t want to just host a one-off event. We believe that a multi-year partnership where we will host these pre-season events over several years will really solidify Macau’s position.”
Chum said the events are part of Sands China’s commitment to invest $4.5 billion in the city by 2032, of which “more than 90% … will be for non-gaming investments.”
Overall, Macau Six gaming operators Pledged to invest nearly US$15 billion to reduce Macau’s economy’s dependence on gaming revenue. The operator’s gaming license will be renewed in 2022 – albeit for 10 years rather than 20 – Each then committed to investing heavily in non-gaming projects..
But for some people, Transformation is not happening fast enough.
In a speech in Macau on Friday, Xi Jinping praised the special administrative region and then set out “three expectations” for Macau, including a requirement to “keep up with the trend of the times” while showing “greater courage in reform and innovation,” according to China’s State Council Transcript provided.
Xi Jinping also urged the city to take measures to attract more foreign talent, Allan Zeman echoed this sentimentWynn Macau’s non-executive chairmanSquawk Box Asia”.
Building a Macau brand
Chum said Sands China has completed a major project, the renovation of the 14,000-seat Venetian Arena, formerly known as the Cotai Arena, in November.
“We have invested more than $200 million in a fundamental upgrade and transformation of the Venetian Coliseum,” he said. “The facility will be state-of-the-art and suitable not only for exhibitions and conferences, but also for live concerts and increasingly important sporting events.”
The Venetian Arena will host NBA preseason games starting in 2025. earlier this month.
Mr Tan said the competitions would enhance Macau’s status as a venue for major global events.
“We expect that over time this will build Macau’s brand equity,” he told CNBC.
Chum said Macau’s gaming revenue has returned to around 80% of 2019 levels, while visitor numbers – which he called “the most important health indicator for the tourism economy” – reached pre-pandemic levels in August and October.
Friday marks the 25th anniversary since Britain handed Macau back to China in December 1999.
This NBA agreement also marks the return of preseason games to China for the first time since 2019. Abruptly ending arrangements to broadcast pre-season games in the country Then-Houston Rockets general manager Daryl Morey tweeted Express support for anti-Beijing protesters in Hong Kong.
