Sam Hou Fai Elected as Macao’s New Leader with Plans for Economic Diversification

Sam Hou Fai, the recently elected leader of Macao, has outlined his vision for steering the special administrative region away from its dependence on the gaming and gambling industries. Sam, who previously served as Macao’s top judge, emerged victorious in an uncontested election held on October 13, 2024. His election was confirmed with a substantial majority, having received 394 out of 398 votes from a committee composed predominantly of Beijing loyalists.

In a speech delivered at the China-Portuguese-speaking Countries Commercial and Trade Service Platform Complex in Macao, Sam emphasized the urgent need for economic diversification. According to reports from China News Service, he stated his intention to enhance business conditions and extend support to small enterprises in the region.

During an earlier press conference in September, Sam elaborated on his administration’s focus on economic diversification. He mentioned plans to introduce public funds aimed at nurturing the development of emerging industries beyond gaming and gambling.

Macao’s economy has historically been heavily reliant on its status as the only region in Greater China where casinos are legally operated—a factor that previously attracted affluent tourists and contributed significantly to its high per capita income. However, this dependency proved detrimental during the COVID-19 pandemic, which led to border closures and stringent social distancing measures, severely impacting the lucrative gaming sector.

Sam’s predecessor, Ho Iat Seng, had also prioritized economic diversification efforts. He unveiled a strategic plan aimed at bolstering sectors such as tourism, commerce, finance, traditional Chinese medicine, and more. Figures reported in May suggested that the gaming industry’s contribution to Macao’s GDP had decreased to less than 40% in 2023, down from a peak of about 60% from 2011 to 2013.

Beijing has also advocated for Macao to diversify its economic activities. Sam’s election and intended policies are seen as aligned with Beijing’s agenda, as he prepares to take office in December, coinciding with the 25th anniversary of Macao’s handover to China.

Sam intends to “further promote cooperation with China in areas such as trade, finance, tourism, and high technology,” reinforcing the strategic ties between Macao and mainland China.