Financial magazine Global Finance has ranked the MSAR the third richest territory in the world, following only Qatar and Luxembourg, but being the richest on the Asian continent.
The publication’s recent top 100 list of ‘The Richest Countries in the World’ for 2016 is not only based upon a country or jurisdiction’s per capita – Gross Domestic Product – but also its purchasing power parity (PPP) ‘which factors in differing costs of living and relative inflation rates that impact upon the real buying power of residents.’
According to the report, the city’s GDP-PPP per capita value is estimated at 96,147 international dollars for last year, while that of Qatar and Luxembourg reached 129,726 and 101,936 international dollars, respectively.
‘Macau has rebounded on the back of a revival of its casinos and associated tourism,’ the publication notes.
Saying the city is ‘now back on the up’ following a slump of 26 months in the gaming industry, the publication believes the sector would expand following the recent opening of Wynn Palace and The Parisian Macao.
According to official data, Macau’s GDP per capita fell 2.78 per cent year-on-year to MOP554,619 (US$69,327) for 2016, a significant improvement from the decline of 23.9 per cent for 2015.
That followed the recovery of the city’s gaming industry from July 2016, which wrapped up the year with total gaming revenue of MOP223.2 billion, a decrease of 3.3 per cent year-on-year, as compared to that of 34.3 per cent in 2015.
‘In this very particular economy, GDP per capita remains one of the highest in the world,’ the publication concluded.
Rest on the list
Meanwhile, neighbouring SAR Hong Kong is ranked 12th richest with a GDP-PPP per capita value of 58,094 international dollars; Taiwan comes in 22nd with 47,790 international dollars; while China ranks 81st with 15,423 international dollars;
Singapore is the only other member from Asia on the top 10 richest list, with a GDP-PPP value of 87,082 international dollars, the fourth richest in the world.
The remaining top 10 list entrants are, by order, Brunei Darussalam, Kuwait, Ireland, Norway, United Arab Emirates (UAE) and San Marino.
Noting the richness of gas puts Qatar at the richest position in the world – as with Norway and the UAE – the publication indicated ‘lower oil prices have meant that Qataris’ average income decreased by some $15,000 compared to what it had been in 2015,’ which is ‘in contrast to Norway and the UAE whose more diversified economies helped cushion them from international commodity price-swings.’
On the other hand, the report commented that Luxembourg and Singapore both benefit from having highly developed financial services sectors and relatively low tax rates, helping the countries attract global wealth flows.