Macau’s Gambling Gold Rush Continues

Macau’s Gambling Gold Rush Continues

Posted on 01/09/11 - by Theodor Mavrodis News

Macau is showing no signs of slowing down as far as gambling revenues are concerned, with the official numbers for August showing more huge gains and record revenues.

According to Macau's Gaming Inspection and Coordination Bureau , total gambling revenues for August in Macau were up 57% when compared to August 2010, with a record $3.1 billion in total revenues for August.

2011 revenues are on a similar breakneck pace, up 47% for the first eight months of the year as compared to the same period in 2010.

Macau is the only place where gambling is legal in China, with the lure of slots, baccarat, and other casino games luring more and more players to Macau each month.

Macau’s success has been so meteoric that some officials have sought to constrain its growth over worry that a speculative bubble will form as far as too many new casinos being built as well as concerns over the image of a gambling-obsessed China.

Failed Efforts to Curb Growth

Efforts to slow the growth of gambling in Macau have thus far been unsuccessful, and largely focused on raising interest rates and limiting the amount of credit extended to developers and businesses in the gambling industry in Macau.

Macau’s success is a stark counterpoint to the struggles of US casinos, where Las Vegas has largely been flat as far as revenues over the last year while Atlantic City has struggled mightily and seen a substantial drop in gambling revenues.

Macau passed the Las Vegas Strip as the world’s top gambling destination based on revenue back in 2006 and is now on pace to rake in five times the amount the Strip will in 2011.