IMF concludes the 2026 Article IV Consultation with Macao SAR
The International Monetary Fund (IMF) Mission conducted its Article IV Consultation with the Macao Special Administrative Region (Macao SAR) during 14-23 July 2026, with a preliminary concluding statement issued on 29 July. Following the IMF Executive Board’s conclusion of the consultation, the IMF published today (29 September, US time) a more detailed Staff Report for the 2026 Article IV Consultation with the Macao Special Administrative Region, providing a more comprehensive assessment of Macao SAR’s macroeconomic and financial conditions.
IMF Affirms Macao SAR’s Economic Resilience
The IMF stated that, Macao SAR’s economy has remained resilient despite external headwinds. Supported by the robust performance of the integrated tourism and leisure sector, Macao SAR’s economy has prolonged its growth trajectory, with visitor arrivals surpassing the pre-pandemic level; domestic inflation stayed mild while labour-market conditions also remained broadly stable. The IMF envisaged that Macao SAR’s economy would expand by 3.3% in 2026, with inflation standing at 1.8%.
IMF’s Policy Recommendations to Macao SAR
The IMF acknowledged the orderly progress of which the SAR Government has achieved in advancing appropriate economic diversification. The IMF also enunciated that harnessing the manufacturing edge of the Guangdong-Macao In-depth Cooperation Zone in Hengqin and Macao’s close ties with Portuguese-speaking countries would open up new opportunities for the SAR’s development.
On the front of financial stability, the IMF assessed that Macao’s banking system has remained resilient, underscoring the importance of continued adherence to risk-based supervisory principles to safeguard financial integrity while fostering the development of the financial sector. Concerning the monetary system, the IMF reaffirmed that the linked exchange rate system (LERS) between the Macao pataca (MOP) and the Hong Kong dollar (HKD) has provided credible support to Macao SAR’s economic and financial stability.
In the aspect of fiscal policies, the IMF highly commended Macao SAR’s strong fiscal position and external buffers. Given its ample fiscal capacity, the IMF recommended the SAR Government to deploy appropriate fiscal policies to stimulate domestic demand and proactively tackle the challenges associated with population ageing.
With regard to industrial policies, the IMF recommended leveraging digitalisation and artificial intelligence to boost productivity and expedite industrial transformation, while simultaneously enhancing public administration effectiveness and advancing the business environment. Furthermore, the IMF also advised increasing investment in climate-adaptation-related infrastructure to bolster Macao’s climate resilience.
The Staff Report for the 2026 Article IV Consultation with the Macao Special Administrative Region (https://www.imf.org/en/publications/cr/issues/2026/09/29/people-s-republic-of-china-macao-special-administrative-region-2026-article-iv-579975) and the relevant press release (https://www.imf.org/en/news/articles/2026/09/29/pr26311-macao-imf-executive-board-concludes-2026-article-iv-consultation) have been published on the IMF website. The next IMF Article IV Consultation with the Macao SAR will take place on the preset 24-month cycle.
