Beijing Wants Macau Turned into IT Hub

Can Macau transform from gambling hub to one of innovation?

Before the coronavirus pandemic, Macau was the world's power horse when it came to generating billions of dollars in profits from gambling -- for years the former Portuguese colony's casino revenues were greater than all of those in Las Vegas combined. It generated over 80 percent of the Macau's tax income.

China had wanted Macau to diversify its income sources for years, and the gaming resorts tried to create entertainment, fine dining restaurants and shopping, but these initiatives were completely overshadowed by casinos. 

Macau depends heavily on casinos for its tax base

Mainland gamblers didn't care for shows that tried to be like those in Vegas, or Michelin-starred restaurants, and the shopping -- they just wanted to eat bowls of noodles so they could play at the VIP tables, dropping thousands of dollars per round.

However now with Covid-19 pandemic approaching its second year, it has laid bare how vulnerable Macau is to depending on gaming, and in the past week there was sensational news of Macau police arresting Alvin Chau Cheok-wa, who allegedly ran illegal cross border gambling activities. 

The free-wheeling days of fast money, VIP rooms, and escorts are over.

Instead Beijing wants to take the opportunity to turn the gambling capital into an IT hub.

The place will be Hengqin, a small island in between Macau and Zhuhai that will jointly be governed by both the Macau and Guangdong authorities. 

Hengqin is an island near Macau and Zhuhai

It will be one step forward in rebranding Macau as "the new centre of international technologies" to connect the Asia Pacific tech ecosystems with the rest of the world.

Huh?

What tech ecosystems? And wasn't Hong Kong supposed to be an IT hub too?

In Beijing's plan, Macau is being encouraged to develop integrated circuits, new energy projects and artificial intelligence, among other tech sectors, and to establish a supply chain for chips, from design to testing.

That will also include enhancing the research abilities of Macau universities to drive innovation and technology. There are other industries Beijing wants to develop too, like Chinese medicine, gems, tourism and financial services. 

Meanwhile tech firms like Tencent as helping the Macau Water Supply Company digitise its operations to offer smoother and faster services, and install meters to detect unusual water consumption. 

Huawei is also working with Macau's telecoms operator CTM on Macau's smart city initiative, using big data technology.

Are Macau's sleepy streets ready for change?

While this all sounds great, the reality is that Macau's population is just under 650,000, the city is small, rundown and not very efficient to get around.

Young people are either in the gaming or hospitality industries, or they have left Macau to develop their careers elsewhere, like Hong Kong. Students don't go to Macau universities to study high tech and innovation, and trying to change that perception will be a hard sell.

The Macanese don't have the aggressive go-getter mentality to work hard -- they are so used to getting free money from the government and having their pay from casinos artificially high that it will be hard to wean them off the gaming industry.

In addition, Macau doesn't have the man power or the education level to set up a supply chain for chips let alone artificial intelligence. 

And what will happen to all those casinos that are there and the ones that are being built? Will those be turned into high-tech hubs instead? 

It seems Beijing has major pipe dreams for Macau that may never become a reality...

HK Desperate to Reopen Border with China

Hong Kong anxiously waits for the green light from Beijing

For the longest time Macau was seen as the role model on how to keep the coronavirus pandemic at bay, but in the last few days it has uncovered a cluster of at least four local infections stemming from security guards at a quarantine hotel and has spread to others related to renovation work.

The city has mandated the entire population of 650,000 go through another test within 48 hours to try to root out the source, though the previous two tests have come up with nothing.

Some 650,000 Macanese are tested within 48 hours

Macanese civil servants were told to work from home, face-to-face classes for primary and secondary schools were suspended, and there is a 14-day quarantine still in place for those from Zhuhai to Macau. Even Macao Post has suspended mail service for three days.

But wait -- casinos remain open...

Meanwhile Hong Kong has had zero local cases in 49 days and still Beijing refuses to lift border restrictions between the city and the mainland.

Chief Executive Carrie Lam Cheng Yuet-ngor pledged this was a priority for her administration and said the government would do whatever it takes to have quarantine-free travel between Hong Kong and China.

"For the sake of reopening the border, the city government is willing and determined to improve anything located by our mainland counterparts to make our measures more in line with their standards, or to convince them our anti-epidemic mechanism will not [create] a gap," Lam said ahead of her weekly meeting with the Executive Council.

Lam keen to do whatever it takes to open border

"We have already made it very clear our focus is on [reopening] with the mainland as Hongkongers have a strong need to cross the border, be it from an economic or livelihood perspective," she said.

Her administration is waiting for feedback from mainland experts and would decide the next steps after an internal assessment.

China seems to be concerned about Hong Kong's cross-border measures and the continued reporting of imported cases -- but this has now become standard information people want to know and expect to hear. It is important to know where these infections are coming from and stemming them if they become relatively high.

It is clear where Lam's priorities lie.

"International tourism, as well as international business activities, of course matter to us, but that is not comparable with the mainland... Many foreign corporations which have set up a branch in Hong Kong also run businesses on the mainland. So being able to cross the border to inspect their businesses or deliberate with their investors also matters a lot to them," she said.

Lam's priority is the mainland, not rest of world

Unlike other countries that have decided to "live with the virus", this is not an option for Hong Kong if it ever wants the mainland to lift border restrictions.

So even though China tells Lam to jump, and she asks, "How high?", Beijing doesn't have an answer.

This is a limbo that has made lots of Hong Kong residents either pleased that an influx of mainlanders aren't coming in, or desperate for tourists to keep their businesses alive, or see loved ones. 

And it will drag on until at least February, 2022...

Picture of the Day: Where Am I?

This was the view from my hotel room last night... does it remind you of somewhere?

Picture of the Day: Entertaining Slide

Would you shop and slide in Macau?

I’m in Macau for an assignment and we had a long day of work.

After dinner we wandered around a complex that has casinos, hotels, restaurants and shops, and promptly got lost trying to find a place to eat dessert.

But what we did find was this crazy slide that is two stories high and winds its way into a store...

We walked by it again a few minutes later and a security guard had to shoo mainland parents and their children off of it, as they were taking pictures at the bottom of the slide, even though it was cordoned off...

What's Left of Old Macau

Leal Senado Square in Macau by day on a Sunday morning

I visited Macau on the weekend and it was nice to finally visit the old parts of the casino town. Usually I am there for work and literally go in and out of hotel complexes in the quickest time possible.

The square is deserted in the evening with shops closed

But this time my friend and I wandered around after dinner on Saturday night and Sunday morning. We were on the Macau side and walked to Leal Senado Square that was quiet. The Christmas decorations were being taken down so there wasn't much of a lively atmosphere.

We wandered down the street and most of the shops were already closed, but we managed to find a 24-hour supermarket and bought some Portuguese olive oil.

The next morning we went back again, hoping to find other shops open, most of them sold snacks, clothing or pharmacies selling milk powder -- much like Hong Kong.

In the small lanes many of the shop spaces were empty or even moving out of the area -- rising rents were probably the culprit.

Many of the shops have shuttered

The last time I visited around the ruins of St Paul's Cathedral over three years ago, the shops below used to be mostly ones selling antiques, but they were all replaced with snack shops -- Macanese egg tarts, pork chop buns and beef jerky.

It is disappointing to see Macau's old flavour disappearing, but perhaps it's the sign of the times. They are all catering to the mainland market, which is looking for delicious souvenirs.

Vancouver's Latest Leisure Complex

On the sixth floor is a shallow pond and the steak house Victor

This evening we checked out the new casino complex in downtown Vancouver called Parq Vancouver, right next to BC Place Stadium.

Inside there are two floors of casinos and walk around and they're practically all Asian gamblers -- it's like walking around any casino in Macau except the dealers speak English. It was a surreal experience.

The 25-foot replica of a Douglas fir cut up intricately

There aren't one, but two hotels, JW Marriott and Douglas, an Autograph Collection Hotel. We checked out the lobby of the latter which features a reception desk that is a 25-foot replica of a Douglas fir log that's been intricately sliced up and lit from within and encased in glass. Pretty cool, until I found out it's a replica.

To the right of the reception desk is D6, a nice space for a lounge to enjoy drinks, complete with a billiard table and modern fireplace.

On the left is an outdoor space that looks into some people's condos across the street -- and they don't seem to mind -- and on the other side an up close view of BC Place in its LED glory. Tonight the fog had set in, so at first we felt like there was a canopy roof over us!

Past the outdoor space that includes a kind of shallow pond with lights is Victor, a steakhouse that also serves seafood and sushi. I've been told the Tomahawk steak at CAD$150 feeds six people. The restaurant also has a not-too-fussy vibe with lots of wood, and booth seating with green leather.

The hotel also boasts a ginormous ballroom at 15,604 square feet that holds 1,000 guests -- finally a venue for mega weddings, serving either Western or Chinese cuisines.

The interior of 1886, the fine-dining Chinese restaurant

On the third floor is 1886, a fine-dining Chinese restaurant that goes head-to-head with Mott 32 Vancouver. The latter has a more elaborate interior design, whereas 1886 -- the date Chinatown was established in Vancouver -- is more restrained but elegant with high ceilings and circular booth seating for smaller groups.

The opposite side of the room has several private rooms that can open up into one long one. One room was particularly boisterous the evening we went with mainland Chinese diners imbibing lots of alcohol with their dinner.

We were told by the manager the restaurant has been open for three months and is clearly meant to cater the gambling crowd as it's only steps away from the tables.

While this might be considered clever and convenient, the restaurant's location misses out on a huge segment of potential diners -- families. Only adults 19 years old and over can enter the casino area, hence 1886 is an adults-only restaurant.

In some ways this is good for customers who want a relatively quiet meal, but in terms of revenues, it's missing out on families who want to dine on dim sum with their children, or have Sunday night meals together.

Nevertheless, the food is pretty good overall and will raise the standards of Chinese cuisine in the city.

Parq Vancouver

39 Smithe Street

Vancouver

Tel: 604 683 7277

Macau's Weaknesses Laid Bare by Hato

A van partly submerged into the water in Macau after Typhoon Hato

The story these few days has been the impact of Typhoon Hato in Macau. At least nine people have died and the destruction in the casino hub is shocking.

There are images of blown out windows, flooding in the streets, debris everywhere, cars dangling from bridges... it's like a bombed out city.

Windows blown out in an apartment complex

I contacted a friend of mine to see if she was OK and she sent me a video of her using her dog's leash to hook onto the window clasp to keep the window from flinging open. She wasn't able to keep her window shut when Typhoon Hato hit.

It demonstrated that perhaps her building was not built properly, or the windows themselves are not good quality.

The scenes of destruction and the slow response show the Macanese government has not prepared for typhoons with proper drainage, emergency plans, and supplies even though it is such a wealthy city.

Even the casinos were shut down with blackouts despite having backup generators. There's video on social media of one luxury hotel casino where some 20 staff struggle to keep the main doors closed while the wind is blowing so hard.

Residents line up for water from fire hydrants in the city

Two days later, today, the People's Liberation Army was called from the Macau barracks to come out and help clean up -- something that should have been arranged yesterday. While the help was greatly appreciated, there were again questions why the government didn't ask for assistance right away.

Basic supplies are scarce -- there isn't enough drinking water and some homes still don't have electricity. People are lining up at fire hydrants to take water, even though the government has asked them not to do so. Supermarkets are raided for water as soon as they have supplies and of course it costs much more.

Macau Chief Executive Fernando Chui Sai-on last night apologized to residents and families of the victims, and said that the head of the observatory Fong Soi-kun had resigned for not giving people enough time to prepare or take the typhoon seriously.

The PLA came out to help clean up the city today

My friend told me the government just thought the typhoon would only hit Hong Kong, but in fact it just passed by the city and moved on to Macau before making landfall in southern China.

And now with Typhoon Pakhar on the way this Sunday, will Macau be ready to deal with that too?

A few weeks ago a friend had told me that there were reports saying five typhoons would be passing by Hong Kong soon and I thought it was crazy. But now we have the second one coming, it might not be so crazy after all!

Number of the Day: HK$10 Billion

Macau seems to be another place for mainlanders to move their money

That is the amount of money that is withdrawn from ATMs in Macau per month.

Per month!

And the banks have received instructions to make sure these automatic teller machines never run out of bank notes too.

The 1,300 machines around the former Portuguese enclave are monitored 24 hours a day, and if they start getting low, a team is ready to refill them with more cash.

Looks like Macanese ATMs are another avenue for capital outflows.

What's also interesting is that since December last year, the maximum amount of withdrawals dropped from 10,000 patacas to 5,000 patacas, but that doesn't seem to have prevented mainlanders from getting money out.

Facial recognition technology will soon be installed at ATMs

There are reports that mainland racketeers use hundreds of bank cards to withdraw cash from Macau ATMs as part of a multi-million-dollar foreign exchange scheme.

In one case last January, the court heard evidence that one couple used 402 cash card accounts to make withdrawals from Macau ATMs as part of a 105 million yuan illegal foreign exchange racket.

A similar case in the same court last October had evidence showing 222 cash card accounts were used by a gang to make ATM withdrawals in the casino hub as part of a 139 million yuan foreign exchange scam.

Another interesting statistic is that the number of ATMs in Macau has quadrupled since the gaming industry was liberalized in 2001.

Either local Macanese like playing with ATM machines, or they are specifically geared towards mainlanders.

But maybe it'll be game over soon, as facial recognition technology will be used to scan millions of bank card users at ATMs in Macau.

The Macau government said all holders of mainland-issued China UnionPay bank cards "will be require to scan their mainland identity card and undergo a facial recognition check".

Officials did not have a time frame when the new scheme would be implemented, but one can imagine even more cash is being withdrawn now as we write this.

The vast majority of visitors to Macau are from mainland China at 30 million last year, 20 million of which were from Guangdong province.

The Chinese government is desperately trying to stop capital outflows any way it can, and yet people still find a way to get their money out. It is normal for people on the mainland to have a number of bank accounts, so facial recognition may not be all that helpful.

This cat and mouse game will continue, and Beijing might be the loser in the end.

Creative Gambling in Macau

Baccarat seems to be the game of choice for Chinese gamblers in Macau

Macau casinos are hurting badly these days as the rich -- or those who think they're lucky -- aren't heading to the former Portuguese enclave these days. Gambling revenues are down 36 percent from last year because of Bejiing's anti-corruption campaign.

However, they are still gambling.

There are reports that they now have a proxy gambler who is in Macau goes to the VIP baccarat tables.

The hired person will look like he is talking to himself, but really he's giving the play-by-play account of what's going on into an earpiece that's surreptitiously hidden behind some hair.

High rollers prefer making bets in VIP rooms

Perhaps baccarat is the game of choice because it's pretty straight forward -- the player has to decide if his hand or or the dealer's is closer to nine.

Some gamblers have two people working the tables, one actually playing, and the other discussing the play loud enough to be heard by the wireless headsets.

This is supposed to be illegal, as phone betting in Macau casinos has been banned, but with the gambling coffers down in the dumps, any kind of business is better than none at all, right?

The authorities claim they are cracking down, but with so many casinos and gambling tables to police, it's probably like picking a needle in a haystack.

Nevertheless, it's interesting to hear there is some gambling going on, though the hotel rooms, restaurants and shops remain empty...

Beijing's Misunderstanding of Hong Kong

Chen Zuo'er claims Hong Kong wasn't "de-colonized" after the handover

Beijing still doesn't understand why Hong Kong isn't becoming "mainlandized" as fast and as well as it think it should be.

The latest to make this comment is Chen Zuo'er, former deputy director of the Hong Kong and Macau Affairs Office.

He claimed that Hong Kong did not "implement de-colonization" after the 1997 handover.

Referring to activists who wave British colonial flags, Chen said: "Because de-colonization wasn't implemented in accordance with the law, things that should be put in the history museum ran into the streets... [At the same time], de-Sinofication, created by colonialists in the 1980s, has revived."

Uh what is de-colonization and what does that entail?

Hong Kong was handed over to the Chinese at midnight

I was here when Hong Kong was handed over to China at midnight on July 1, 1997. There was no program to "de-colonize" the city -- overnight the police changed the insignias on their police caps, mail boxes were painted green, and some royal post boxes were even removed ahead of time. The general sentiment was that many people were happy to be rid of the Brits with hopes things would be better under China.

So what is Chen talking about?

It is the central government that hasn't done a good job in presenting itself as a leadership with integrity, that listens to its people and follows the rule of law. It hasn't done a good public relations exercise nor proper accountability in proving that it is better than the Brits in administering Hong Kong.

In fact quite the opposite.

Hong Kong officials seem to have no idea how to govern the city, seemingly waiting for Beijing to tell them what to do. There is no interest in preserving Hong Kong's unique culture but more importantly there is no vision for the city's future.

Almost a year later what has changed for the better?

For example, the lead tainted water scandal has dragged on for so long and yet we don't even know where the source is. And I checked with the Consumer Council to see which water filters it recommended, only to find it has done no such research. It claims to be an independent body from the government, and yet such information would be useful at a time like now.

The government, both Beijing and Hong Kong, have done nothing to address social tensions between mainlanders and locals, nor critical issues like the wealth gap, poverty and housing.

Chen claimed that Hong Kong's economic development lagged behind Macau's -- though the former Portuguese colony is seeing a 180-degree turn on its fortunes as casino revenues plunge because the big gamblers have disappeared. What kind of comparison is that?

Hong Kong is far more developed than Macau already -- what more can Hong Kong do to bring in more revenue?

The former official is blowing a lot of hot air. These people waving colonial flags are literally a handful of people, and yet the sight of them freaks him out. Chen seems to have no idea what happened almost a year ago and why people occupied various parts of Hong Kong for 79 days.

Beijing doesn't really get it, does it?

Guo Meimei Trades Luxury for Prison Cell

Guo Meimei living the life -- back then on Weibo

Some girls just want to have fun.

That was the case of Guo Meimei, 23, who took lots of selfies or had others take pictures of her scantily clad in bikinis, or short dresses. She has a cherubic face, but Guo seems to have seduced herself into the world of luxury.

She took pictures of herself with luxury brand name bags like Hermes and Louis Vuitton, even striking poses in front of a Maserati that were uploaded onto her Weibo account, where she had almost two million followers.

She liked to pose with luxury cars and handbags

Then in 2011 netizens started digging up information about her online and found that she claimed to be a "commercial general manager" at the Red Cross Society of China, which the charity vehemently denied, but the damage was done -- donations plunged because the public was outraged at Guo and didn't trust the Red Cross anymore.

It turns out Guo's partner Wang Jun, 46, was a Shenzhen-based businessman who funded her shopping thrills. He planned to use the Red Cross brand for an advertising campaign, and Guo asked to head the new business venture.

One would have thought that fiasco would have ended the young woman's career, but she plunged headlong into higher stakes -- casinos.

Someone enjoyed money... a lot

She admitted operating an illegal gambling venue in Beijing as well as having sex with several unnamed men for money. She even fabricated a story that she had a 260 million yuan gambling debt in Macau to get herself back into the limelight.

Guo's antics were over when she and Wang were detained in July last year. Dressed in an orange prison garb, she made a tearful "confession" on state media, saying she concocted the affiliation with the Red Cross purely out of vanity.

"I like to show off," she said. "I have the vain mindset of a little girl."

Over a year after she was detained, Guo was sentenced to five years in jail and a 50,000 yuan fine yesterday in Beijing for running an illegal casino. Her associate Zhao Xiaolai pleaded guilty and was sentenced to two years and fined 20,000 yuan.

While Guo admitted in court to taking part in illegal gambling and invited people to play high-stakes poker at a Beijing apartment, she denied running an illegal casino.

In court she looked plain, with no makeup on, wearing eyeglasses, a white shirt and frumpy black pants, a far cry from the sexy image she used to portray of herself.

Guo was sentenced in court yesterday for five years in jail

There are scant details of her life growing up except that she lived with her mother in Yiyang, Hunan province and then Shenzhen. Guo later studied at Beijing Film Academy in 2008.

Thus ends the fabulous life of Guo that was terribly short lived and desperate at the end. Her insatiable love of money that led her downfall. After she gets out of prison at the age of 28, what is she going to do then? And for the rest of her life?

We hope this is a lesson to all those young (pretty) girls in China who mistakenly believe life in the fast lane is fun...

Pictures of the Day: Water Fountain

Kids hanging out by the water fountain in front of Wynn Macau

People who work in Macau were telling me that it's busy because many families are here for summer holidays.

But you wouldn't know it by the roads that seemed relatively free of congestion, and hardly any taxis and cars pulling up into the casinos.

I came out of Wynn Macau just as the water fountain started up and Frank Sinatra started singing Luck Be a Lady in the speakers.

Taking in the water show a la Frank Sinatra

The few mainland Chinese visitors around gathered to stare at the water fountain that seemed to dance and sway with the music.

While watching a dancing fountain was probably not new, did they know who was singing and what the lyrics were about?

Written in 1950 by Frank Loesser, the song was featured in Guys and Dolls where a gambler, Sky Masterson, hopes he will win a bet, the outcome of which will determine whether or not he is able to save his relationship with the girl of his dreams.

The song became a signature hit for Sinatra.

After the song was over and the fountain stopped shooting water, kids started leaning on the edge and playing with the water.

"很好玩的," they said. "This is lots of fun."

The good fortune of enjoying simple pleasures.

Will There be Justice?

DSC boss Hui Ming-shun returned to Hong Kong was arrested yesterday

We are glad to hear the boss of defunct furniture and home electronics retailer DSC and his wife were arrested yesterday from arriving from Macau, a week after they disappeared. They conveniently covered themselves up with face masks, baseball caps and hoods.

One wonders what they were doing in Macau -- perhaps trying to double down to win back more money?

Hui Ming-shun, 61, and his wife and co-founder Lin Wai-yin, 55, were arrested on suspicion of conspiracy to defraud and still remain in police custody.

Meanwhile the staff are still waiting for their unpaid salaries and marched to Hong Kong government headquarters at Tamar to demand the authorities speed up the process of getting their money.

Secretary for Labour and Welfare Matthew Cheung Kin-chung came out to speak to the 70 or so DSC employees, but he didn't give them much good news.

"This morning we contacted the lawyer of Mr Hui to demand him to sign a declaration of insolvency and to determine as soon as possible the amount of money he owed to his employees," Cheung said.

"Once we receive Mr Hui's declaration, the Labour Department will help the employees to apply for legal aid to petition to wind up the company."

What happens if Hui doesn't care to declare bankruptcy? Does that mean he doesn't have to pay the staff what they are entitled to?

In the meantime the government says it will start determining how much money each employee is entitled to receive from the Protection of Wages on Insolvency Fund, with a maximum of HK$289,000 per person.

It seems Hui and Lin owe some HK$10 million in wages, and another HK$10 million to landlords and suppliers. They recently sold their Kowloon Tong flat, but who knows what other debts they have, or if they have squirreled their money away elsewhere.

The Labour Tribunal hearing on this case will be on August 21. It will be interesting to hear what Hui has to say in his defense...

Macanese Surly Service

Delicious and hearty pork chop vermicelli noodle soup at Choi Un Kei

I spent the day in Macau today and a friend who lives there took me around Coloane for a bit of sightseeing.

It's a stark contrast from the shiny tall and large-scale casino resort buildings, a reminder of what most of Macau used to look like.

The streets are narrow and quiet, and the houses are proportionally small. They are Chinese style, with a large living room area on the ground floor and then stairs leading up to the bedrooms.

Shops selling fruits and vegetables can be found, along with beauty salons, boutiques and cafes. Apparently not much development happens here because the land is not free hold.

Don't mess with the owner! (back)

We went to one famous small cha chaan teng called Choi Un Kei located in a non-descript shack. It's been around for around 30 years and the husband and wife still run it.

However you have to have a thick skin coming to this local eatery because the husband is a short-tempered man who has no patience in explaining there is no printed menu, that they only serve pork chop or chicken fillet with either a bowl of vermicelli or macaroni in soup. The place also sells some buns, but by the time we arrived, they were sold out.

At first he didn't seem to want us to come into the place -- we heard that if too many people show up he may get stressed out, which is understandable. But we sat down anyway with my friend's friend who just happened to be there.

We sat for a while, but the owner didn't come by the take our order and my friend's friend had to advise us to be patient. Eventually he did wander near our table and in her sweetest voice, my friend's friend politely listed what we wanted to eat.

First came my milk tea, which was heavy on the milk, but that was perfect for me, as I don't usually drink it, but needed the caffeine. Not long after my order of pork chop with vermicelli came.

The pork chop is on the bone, and is seasoned with pepper, a few spices and a touch of garlic, and it's delicious and not too tough. It's on top of a bowl of vermicelli, that has cubes of cabbage, potato and tomato in it.

Scrumptious Macanese tarts from Lord Stow

Even though my friend's bowl with macaroni instead came much later, she finished hers before me, though her glass of hot lemon water didn't come until we paid the bill!

Meanwhile a mainland couple sat down at another table and obviously didn't know the rules here and were chided by the owner for not knowing there's no menu and not clearly hearing what was available; the wife kept asking for ho fun, or thick rice noodles and he already told her once that he didn't have those noodles.

We quickly got out of there before the chances of a brawl happening...

A short walk away was Lord Stow's Bakery, so we popped in for a look. They make all kinds of baked goods, from breads and buns to cheesecakes and of course the legendary Macanese egg tarts.

Why not? So I bought half a dozen for 50 MOP and while we were there, another group of guys didn't realize that one dozen of tarts would be 100 MOP.

One of the women working there chided them for not having visited the shop in a long time otherwise they would have known the prices had gone up!

Ah surly service. The Macanese who don't really care to have repeat customers still get them anyway...

Choi Un Kei

Lg Pres. A Ramalho Eanes s/n

Coloane
(853) 2888 2064

Lord Stow's Bakery

1 Rua do Tassara

Coloane
(853) 2888 2534

Macau's Reversal of Fortune?

Chief Executive Fernando Chui and Chinese President Xi Jinping have a toast

Today Chinese President Xi Jinping marked the 15th anniversary of the handover of Macau back to the motherland, but it may also signal the end of its free-wheeling days.

In his speech, Xi called on the Macanese government to find "greater courage and wisdom" to "strengthen and improve regulation and supervision over the gaming industry".

Seems the President is expanding his anti-corruption campaign to Macau, but is Chief Executive Fernando Chui Sai-on the best person to deal with this? He doesn't seem to have a good grip on how discontented the Macanese are with his leadership, or rather his lack of authority.

Chui now has to come up with a concrete plan to shift Macau's economic model from one that currently sees more than 85 percent of taxes coming from casinos. When asked how he would go about doing this, he responded the government would "undertake a review" of the casino industry in spring of next year, ie the earliest would be after Chinese New Year.

Macau's dependency on gambling will have to change

In the last few weeks, Macau's casino takings have sharply fallen due to the anti-corruption campaign as well as the economic slowdown on the mainland.

China will also launch a crackdown on the flow of illicit funds through casinos, overseen by the Ministry of Public Security. This also means VIP junket operators, who bring in high rollers and arrange financial credit for them, will be closely monitored.

Many gamblers transfer funds through their UnionPay ATM and credit cards, and the security  ministry's Economic Crimes Investigation Bureau will be watching for suspicious transactions...

Xi also mentioned resisting "foreign interference", which could mean targeting specific casino operators who may have angered Beijing. Wonder who is on this hit list?

In the meantime, can someone please explain to Xi that it's not the casino operators' fault, but his own citizens who have this incredible urge to gamble?

These casino operators have tried desperately to diversify entertainment with shopping and shows, but mainland visitors aren't interested in fine dining restaurants, historic landmarks or entertainment -- they just want to have fun by throwing down wads of cash on the slim chance of winning big.

The other big question is, casino operators are currently spending millions building their next phases to incorporate more entertainment as well as gambling tables. Can they afford to have mainland visitors drop to a trickle?

Xi's edict also reveals Chui has not been an effective leader at all -- something the Macanese have known all along. But is Chui the man to fix things with an iron fist? Issues like housing and transportation are crying out for attention, but the government has been too busy counting money to tackle these problems.

Perhaps one good thing that may come out of Xi's anti-corruption campaign in Macau will be that the city will be cleared out of mainlanders and then Hong Kong people can enjoy it again without having to fight the crowds!

Who's Blaming Who?

Mainland Chinese flock to Macau for rest, relaxation and gambling! What else?

China has disciplined Macau, saying it needs to lessen its reliance on gambling revenue "in the interests of the whole nation".

Li Fei, in charge of Hong Kong and Macau affairs gave the warning yesterday to Macau Chief Executive Fernando Chui Sai-on before Chinese President Xi Jinping arrives to mark the 15th anniversary of the former Portuguese enclave's return to the mainland.

This past year has been a tough one for Macau, as Xi's anti-corruption campaign put a chill on many big rollers who usually go there to bet big... winning is another thing.

Li, who is also deputy secretary general of the National People's Congress Standing Committee, stressed that the "overwhelming dominance" of the gaming industry not only worked against the interests of Macau, but also the whole nation. Previous warnings were only focused on Macau.

The House of Dancing Water is a popular show...

"The overwhelming dominance of gambling in Macau is not in line with the overall interest of Macau and the fact that Macau's economy, especially gaming, is closely connected with the mainland determines that when one judges the overall interest of Macau, one cannot focus only on Macau's economic growth and tax revenue.

"One must take into account the socioeconomic safety, stability and developmental interest of the mainland and the whole nation," he said.

He added the mainland had give the city opportunities for development outside of gaming and it needed to explore these areas.

"The nation and the mainland provide Macau with many opportunities," Li said. "If the SAR can grab and fully utilize these conditions with good planning, scientific policy making and effective implementation, it is possible to explore a fresh development path of cooperation with the mainland in the nation's overall development framework."

So from that vague wording, what does Li mean? What opportunities has China given Macau in developing non-gaming areas? Could he please spell them out for us? Or do we have to play charades to get some clues?

The fact is, many of the casinos are building their new phases for the next two to three years and they are supposed to be more focused on more shopping and dining, and of course hotel rooms.

Melco Crown Entertainment has had one big hit, The House of Dancing Water, which is impressive and bizarre at the same time, but has struggled to capture the adult market with Taboo, that seems to undergo constant revamps without success.

... while Taboo leaves audiences squirming in their seats!

The show, which starts around 10pm, features scantily-clad dancers performing sexy routines, a singer and some acrobatic acts. For the most part the sexually-shy audience squirms when the dancers try to flirt with or tease them, and so most attendees only go once.

There are play areas for kids, but what other entertainment can these casinos come up with?

Actually the problem isn't entirely the fault of casinos not coming up with non-gaming options -- it's the mainland visitors who want to gamble.

They are the ones, up until recently, flooding the casinos and putting down bets, throwing coins into slot machines and trying their luck.

These visitors are shopping too, but it's really the gambling that they are in Macau for. They aren't really interested in the historical spots of the area, nor the food. They just want their dumplings and noodles and then continue playing baccarat or big/small.

Is it the fault of casinos for wanting to cater to their guests' needs and wants?

So perhaps Li is misplacing his blame somewhat and really it's Chinese residents he needs to berate for wanting to blow all their money against the odds?

A Taste of Portugal in Macau

Delicious plump and juicy clams stir-fried with garlic and white wine

I'm really clueless when it comes to local eateries in Macau. The only ones I knew about previously were Fernando's in Hac Sa Beach and Club Militare behind Casino Lisboa.

So a friend who lives in Macau was shocked -- shocked -- that I didn't know about the old Taipa Village and had to rectify the situation by taking me to one of the restaurants there called A Petisqueria.

Old Taipa Village is right across from Galaxy Macau and up until July 1 this year, there was a dedicated shuttle bus taking visitors there. Currently there's road construction on in front of the casino complex, but it's basically just across the street.

The famous codfish cakes that were absolutely divine

I visit Macau on average once every other month and it's to check out the latest happenings in the casino complexes, so I don't have much of an opportunity to see the real Macau.

Some 20 years ago I remember the quiet alleys (compared to now) and most of the tourists were other people from Hong Kong getting a bit of rest and relaxation on the weekend.

Nowadays it's choc a block pretty much everyday with mainlanders still coming to try their luck at the casino tables.

But back to A Petisqueria...

It's on the corner of Rua de S. Joao and Rua das Virtudes, and once you walk inside you're greeted by the head of a deer with giant antlers on the wall flanked by hanging garlic and then an archway decorated with fake grapes leading to the main dining area, that like Fernando's, has red-and-white checkered tablecloths and wooden chairs.

A light and refreshing octopus salad makes a great starter

Locals like to come here, particularly those of Portuguese descent and so I was looking forward to a memorable meal.

For starters, the octopus salad is very refreshing, chunks of octopus marinated with diced onions, parsley and lots of olive oil garnished with olives.

Another favourite -- and the highlight of the meal -- were the bacalhau, or fried codfish cakes. They were unexpectedly so light and fluffy inside it was a pleasant surprise. It was definitely fresh codfish that made this dish exceptional.

We also ordered stir-fried clams with garlic and white wine sauce with a few chilli flakes for good measure. The clams were plump and sweet and our only complaint was there wasn't enough sauce to mop up with warm bread.

Finally, the Spanish paella came in a large wok-like platter, filled with saffron-flavoured rice, prawns, crab and squid.

The hearty Spanish paella with seafood and olives

This rice had lots of flavour and the two of us managed to finish most of it!

It's also nice drinking the Portuguese beverage Sumol -- fruit-flavoured sodas. I had the passion fruit one and it hit the spot.

We love the lack of pretension in this place and the heartiness of the dishes. Meanwhile service is friendly and brisk.

I'm still thinking of those codfish cakes...

A Petisqueria
15 Rua de S. Joao

Taipa
Macau
(853) 2882 5354

Earth Calling Macanese Officials

Young Macanese crossing their arms in protest against the retirement bill

If you think Hong Kong's government is completely out of touch with reality, take a look at Macau's -- which is on another planet.

Yesterday some 20,000 Macanese hit the streets to protest against a bill that would have given generous retirement packages to the city's outgoing chief executive and top officials.

The bill proposed that when Chief Executive Fernando Chui Sai-on steps down, he should receive 70 percent of his 270,000 pataca monthly salary until he gets a new job. He would also be granted immunity from criminal charges during his time in office.

Meanwhile retiring top officials would receive a one-off payment, with those having a civil service background receiving 14 percent of their salary times how many months they served. Non-civil servants would receive 30 percent.

In addition to this, outgoing top officials would get 70 percent of their monthly salaries as they are banned from taking up any private sector jobs for at least a year after leaving office.

Some 20,000 people took to the streets to voice their opinion

No wonder tens of thousands of people turned out and it's actually surprising there weren't more -- or maybe they had to work in the hotels and casinos?

Nevertheless the government has listened and is considering pushing back the bill to the sub-committee for further scrutiny as it was expected to pass in the legislature today.

"I support the bill, but I agree that there is room for improvement," said pro-establishment lawmaker Chan Meng-kam. "Macau residents have been holding different views towards the bill and as a lawmaker, I have the responsibility to call on the legislature to study it again," said Chan.

Quite hilarious that Chan admits he supports the bill but feels obligated to have it looked over after constituents complain...

We understand that Macau is rolling in the dough and has so much of it that the government gives out annual handouts to every resident. That's fine. But for top officials to ingratiate themselves with even more money than they would need post-retirement?

It's downright outrageous. More obscene is giving the chief executive immunity from prosecution. What has he done? Saved the world?

We expect the bill to be either shelved or severely toned down. Public money could be better spent for affordable housing for those who are priced out of the market in Macau. And what about granting more work visas to foreigners so that small and medium-sized companies can function?

And we thought the Hong Kong government was inept!

Still Going Strong

Thanks to both VIP and ordinary gamblers, Macau continues to win big

If there's one sure bet in Macau these days, it's the casinos.

The casinos combined in the former Portuguese enclave took in 31.3 billion patacas ($3.9 million) last month, up 10.6 percent from a year earlier, beating analysts' estimates and defying Chinese President Xi Jinping's crackdown on corruption.

Macau reported higher gaming revenue in the first four months of this year, an increase of 17.5 percent to 133.5 billiion patacas.

Of the casino operators, Sands China run by Sheldon Adelson seems to be hauling in quite a war chest of $938.1 million ebitda (earnings before interest, taxes, depreciation and amortization).

Meanwhile, Wynn Macau's ebitda was $384.3 million, beating expectations.

Analysts believe the good times are going to keep coming... for a while.

"The VIP segment appears to remain healthy, while the mass market remains exceptionally strong," said a research report by Macau-based Union Gaming Research.

VIP gamblers typically bet more than $1 million on baccarat during each visit to Macau, and use credit lines arranged by junket operators.

According to official data, there were 895,000 tour visitors in March, of which 698,000 were from the mainland.

It's impressive to see gamblers still pushing their luck despite the ongoing anti-corruption campaign on the mainland, but more importantly that gambling is still the main attraction in Macau for mainlanders despite the local government's push for more entertainment attractions...