From casino den to technology base: China wants to transform Macau

The Chinese government aims to turn Macau, the world's largest casino den, into a regional technological powerhouse.

According to the South China Morning Post, this comes as the Venetian Macao Convention and Exhibition Centre staged a large technology-themed trade show in December 2021, which is anticipated to spur the development of new sectors and rejuvenate the local economy.

According to the event's website, Macau will serve as "the new centre of international technology," connecting the Asia Pacific digital ecosystem to the rest of the world.

The Venetian Macao Convention and Exhibition Centre hosted a large technology-themed trade fair this week, with hundreds of mainland tech investors and executives crossing the border to discuss their visions for the city as the former Portuguese colony grapples with COVID-19 and Beijing's harsh stance on gambling.

The event takes place at a time when Macau's cornerstone business, gambling, is facing uncertainty, as Beijing expresses its discontent with Macau's casinos' position as illicit money drainage channels that threaten China's financial stability and capital account regulations.

Amid potential US penalties over Hong Kong, Chinese institutions are being pressured to move from SWIFT to a domestic financial network.

Since gambling became permitted in the former Portuguese province in the 1850s, Macau has been branded the "Gambling Capital of the World" and the "Monte Carlo of the East."

Before the pandemic, the gambling industry provided almost half of the city's $54 billion GDP and earned 80% of the local government's tax revenue, according to data.

The drop in gaming revenue of 80% last year resulted in a 50% drop in GDP.

(With inputs from agencies)