Macau is to withdraw a controversial bill on the establishment of a sovereign wealth fund. The Macau Investment and Development Fund had been on track to take MOP60 billion, or 11% of the government’s financial reserves, for its establishment. Until yesterday, that is.
As Macau Newsreports, Chui announced yesterday that the government now plans to consult the public first about the idea. It had initially been mentioned in his campaign platform when he sought re-election in 2014. In April this year, he told Macau’s Legislative Assembly that the fund would be set up in the second half of this year and would be managed by a government-owned entity operating independently of the current public administration structure. His argument was that it was needed to boost returns on public assets, but also for supporting the development of the Greater Bay Area.
We have to assume that someone decided it might be better to wait on the plan’s rollout until the new Chief Executive is installed in office on December 20.