Casino Magnate James Packer Says Macau Downturn Worse Than Anyone Imagined

Casino Magnate James Packer Says Macau Downturn Worse Than Anyone Imagined

James Packer (right) with Robert De Niro during the opening of the Nobu that is new Hotel Manila, Philippines.

James Packer, the Australian billionaire and casino mogul, has admitted that Macau’s economic downturn is ‘more severe’ than any of the gambling hub’s operators could have foreseen.

Packer’s Crown Resorts derives 50 percent of its revenue from a 34 percent stake in Melco Crown, which owns properties on the Cotai Strip, including the City that is lavish of resort.

Just over a 12 months ago, Macau had been declared by Forbes to be one of many world’s fastest-growing economies, and the region’s casinos were enjoying revenues that are bi-monthly to that particular of Vegas’ annual haul.

But an unprecedented crackdown on corruption and cash laundering by President Xi Jinping’s government regarding the mainland has halted the success tale and sent revenues tumbling.

Financial Crackdown

The financial crackdown is element of an ongoing anti-corruption drive that has scared off the high rollers plus the junket companies that once accounted for some 60 % of Macau’s revenue.

Tub thumping from Beijing has delivered shares in the regions casino companies tumbling. And this, plus a new cigarette smoking ban, increased financial restrictions imposed on tourists, and a generally speaking weak Asian economy has struck the region hard.

In April gross gaming revenue fell 39 per cent, year-on-year, to 19.2 b Continuar leyendo «Casino Magnate James Packer Says Macau Downturn Worse Than Anyone Imagined»