Macau puts RMB8b into Guangdong Fund

Macau has invested RMB8 billion into the new Guangdong-Macau Cooperation and Development Fund to support the development of eight projects, five of which are construction of infrastructure in the Greater Bay Area, including motorways, transportation hubs, and science parks. 

According to the chairman of Macau’s legislative committee overseeing the investment, Mak Soi Kun, the government plans to invest RMB20 billion this year. 

Macau will receive a 3.5% guaranteed financial return each year, with a bonus mechanism: If the financial return exceeds 7.8%, then Macau and Guangdong will share the additional profit 55:45. According to last year’s report, the fund achieved last year a consolidated income of RMB69.38 million, and the pre-tax profits for Macau stood at RMB45.45 million. The fund is expected to rake in more revenue this year with the profits from January till May this year amounting to RMB51.35 million already. 

The Guangdong-Macau Cooperation and Development Fund was established in June last year, and the Macau government is expected to receive the first disbursement in 6 years and the second in 11 years. 

Read more in Chinese. 

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