Information from the Statistics and Census Service (DSEC) indicated that Gross Domestic Product (GDP) for the second quarter of 2012 expanded modestly by 7.3% year-on-year in real terms, as affected by decelerating growth in exports of gaming services, total visitor spending and investment. Economic growth was underpinned by the increase in exports of services and private consumption expenditure, of which exports of gaming services rose by 6.2%, total visitor spending increased by 2.5% and private consumption expenditure went up by 12.8%. Meanwhile, the implicit deflator of GDP that measures overall changes in prices increased by 8.1% year-on-year in the second quarter. In the first half year of 2012, GDP expanded by 12.6% in real terms, and economic growth for the first quarter revised upward from 18.4% to 18.6%. Increase in private consumption expenditure sustained, up by 12.8% year-on-year, on the back of favourable employment conditions, rising total employment and working income. Household final consumption expenditure in the domestic market increased by 11.5%, and consumption expenditure abroad rose by 11.1%, of which spending in Mainland China amounted to MOP 1.81 billion. Government final consumption expenditure increased by 5.2% year-on-year, with compensation of employees and net purchases of goods and services rising by 4.1% and 7.5% respectively. The gauge of investment, increase in gross fixed capital formation narrowed substantially to 11.6% year-on-year. Private investment decreased by 6.3%, as construction and equipment investment shrank by 8.1% and 0.6% respectively. Government investment soared by 187.9%, attributable to the construction of the Hengqin Campus of the University of Macau and the public housing projects that drove up public construction investment to register a notable increase of 193.9%; besides, equipment investment also rose by 104.1%. Merchandise exports rose by 19.1% year-on-year in the second quarter of 2012, moderating from 23.9% in the previous quarter. At the same time, increase in merchandise imports receded from 26.1% in the first quarter to 15.5% in the second quarter of 2012 due to growth deceleration in investment and visitor spending. Regarding trade in services, with declining visitor arrivals, slower growth in gross gaming revenue and per-capita spending of visitors, exports of services increased by just 5.7% year-on-year, far lower than 19.2% in the first quarter; in particular, exports of gaming services increased by 6.2% and total visitor spending rose slightly by 2.5%. In addition, imports of services edged up mildly by 1.2% year-on-year.
