Core Viewpoint - The 2026 Policy Address of the Macao Special Administrative Region emphasizes proactive governance and a clear development path aimed at economic recovery and diversification, with a focus on improving the business environment and enhancing economic vitality [1][3]. Group 1: Governance and Policy Approach - The core governance philosophy is summarized as "proactive government, effective market," indicating a shift from merely setting rules and regulations to actively guiding and serving the market [3][4]. - The government aims to enhance efficiency through reforms such as "delegation, regulation, and service," creating a more favorable environment for market development and diversified industries [3][4]. Group 2: Key Initiatives for Economic Diversification - The establishment of an "Industrial Guidance Fund" is a significant initiative aimed at addressing the financing challenges faced by high-tech industries, which are often viewed as high-risk by private investors [4][5]. - The report elevates the "deep integration with Hengqin" as a top priority to overcome the limitations of Macao's small market and limited resources, providing a physical space and broader market for diversified industries [4][5]. Group 3: Measurement of Economic Diversification Success - The effectiveness of economic diversification should be measured by structural indicators such as the GDP contribution of new industries, particularly the "1+4" plan, which focuses on four emerging sectors [5][6]. - Changes in the labor market structure, including the employment of local talent in new industries and their compensation, are crucial indicators of whether diversification leads to quality job creation [6]. - Economic resilience metrics, such as the diversification of tourist sources and government revenue, are essential to assess the overall strength and risk resistance of the economy [6]. Group 4: Regional Cooperation and Integration - The report emphasizes a shift from project-based cooperation to building common platforms and deep functional integration, such as creating an "International University City" to attract global talent [7]. - Infrastructure initiatives like the "pre-positioned cargo station" at Macao International Airport aim to embed Macao's free port functions into national logistics systems, enhancing its role as a key logistics node [7]. Group 5: Beneficiaries of the Policy Address - Local small and medium-sized enterprises (SMEs), entrepreneurs, and related employees are expected to benefit significantly from the report's emphasis on improving administrative efficiency and the business environment [8]. - The "Industrial Guidance Fund" and support for the "1+4" industries will open new development avenues for SMEs beyond traditional sectors [8]. Group 6: Positive Signals to Society and Investors - The report conveys a strong commitment to reform and action, addressing deep-seated issues within the government and enhancing governance effectiveness [9]. - It outlines a clear path for development with specific initiatives like the "Industrial Guidance Fund" and "deep integration with Hengqin," reducing policy uncertainty for local and international investors [9]. - The report emphasizes inclusive development, ensuring that economic growth benefits all segments of society, which is crucial for attracting and retaining talent and ensuring long-term investment [9].

Core Viewpoint - The Chief Executive of the Macao SAR, Ho Iat Seng, presented the second policy address of his term, outlining the government's focus on administrative reform, promoting diversification, optimizing livelihoods, and integrating into the national framework as the overall direction for governance in the coming year [1]. Economic Outlook - The 2026 fiscal year policy report sets key development goals for Macao, including sustained economic recovery, substantial progress in economic diversification, positive GDP growth, improved business environment, and enhanced economic vitality [1]. - Macao's GDP for the first three quarters of this year was estimated at 301.3 billion MOP, reflecting a real growth of 4.2%. The number of inbound visitors reached 29.67 million, with international travelers accounting for 1.89 million, marking increases of 14.5% and 12.4% respectively [2]. Social Welfare and Support - The report maintains existing universal welfare benefits while adjusting several assistance programs for vulnerable groups, including increased subsidies for three categories of disadvantaged families and enhanced support for caregivers [3]. - Specific adjustments include raising the marriage subsidy to 4,000 MOP, daily unemployment benefits to 210 MOP, and funeral subsidies to 5,200 MOP [3]. Governance and Administrative Reform - The report emphasizes deepening public administrative reform and promoting moderate economic diversification as core tasks to enhance governance efficiency [6]. - It outlines plans to restructure departmental functions to improve coordination and efficiency, addressing long-standing issues of communication and collaboration among government departments [7]. Economic Diversification Strategies - The government aims to deepen the "Tourism+" integration strategy, focusing on five key areas: "Tourism + Food," "Tourism + Events," "Tourism + Exhibitions," "Tourism + Education," and "Tourism + Health," to provide diverse experiences for visitors [8]. - New sectors such as "Tourism + Education" and "Tourism + Health" are being developed, with initiatives to create diversified educational travel routes and enhance healthcare services within the tourism framework [9]. Regional Cooperation and Development - The report highlights the importance of enhancing collaboration within the Guangdong-Hong Kong-Macao Greater Bay Area, establishing mechanisms for joint development, and promoting high-quality growth [10]. - The Macao government is committed to advancing the Hengqin cooperation zone, with plans to increase the number of Macao personnel involved in its development and create a more integrated workforce [10][11].

Core Points - The Chief Executive of Macau, Ho Iat Seng, presented the 2026 Policy Address focusing on administrative reform, promoting diversification, optimizing livelihoods, and integrating into the national framework [1] - The main goals for 2026 include sustained economic recovery, substantial progress in economic diversification, positive GDP growth, improved business environment, and enhanced economic vitality [1] - The report emphasizes the need for a dynamic balance between short-term responses and long-term planning, as well as the interaction between market vitality and government guidance [1] Summary by Categories - **National Security and Stability** - Strengthening national security and maintaining social stability are prioritized [2] - **Administrative Reform** - Deepening public administration reform to enhance governance effectiveness [2] - **Economic Recovery and Diversification** - Consolidating economic recovery momentum and promoting moderate diversification [2] - **Infrastructure and Urban Development** - Improving urban infrastructure to build a smart and livable city [2] - **Cultural Development** - Promoting cultural "base" construction to facilitate cultural exchange and mutual learning [2] - **External Relations** - Enhancing openness to integrate into the national development framework [2] - **Planning and Project Development** - Compiling the "13th Five-Year" plan for advancing key project construction [2]

Group 1 - The core focus of the recent visit by the Macau government delegation to six Greater Bay Area cities is to enhance cooperation in strategic emerging industries, particularly in traditional Chinese medicine and technology [1][4][10] - Macau's GDP for the first quarter of 2025 is reported at 997.6 million MOP, reflecting a year-on-year decrease of 1.3%, indicating a reliance on tourism and gaming sectors [2][3] - The Macau government plans to strengthen ties with European countries and Southeast Asia to diversify its economy and expand tourism markets [3][4] Group 2 - The decline in Macau's GDP is attributed to high base effects from the previous year and changes in tourist spending patterns, with non-gaming tourist spending down by 3.6% [3][4] - The Macau government aims to promote economic diversification by developing high-value industries and enhancing cooperation with cities like Zhongshan, Jiangmen, and Zhuhai [15][16] - The second phase of the Hengqin Guangdong-Macau Deep Cooperation Zone is underway, focusing on cross-border e-commerce and logistics, with plans for a technology innovation industrial park [11][14] Group 3 - Macau's economic structure is criticized for being overly dependent on tourism and gaming, with calls for more diverse economic activities such as cultural creativity and financial services [15][20] - The government is exploring new industrial models that involve collaboration between Macau's research capabilities and production in neighboring cities [16][19] - The recent consumer promotion activities in Macau have seen significant participation, with electronic coupons totaling 2.9 billion MOP issued [22]