Macau announces economic relief, stimulus measures

Macau has announced measures to ease the public tax burden and boost fiscal spending to kick-start the enclave's growth, as Chinese travel curbs and the financial crisis cool the gaming haven's three-year boom.

Macau's leader Edmund Ho said he would continue to cut taxes on salaries by 25 percent and raise the tax exemption limit by 26% from 95,000 patacas ($11,900) to 120,000 patacas, given the bleak economic outlook.

This and other tax reduction measures would mean reduced taxation revenue of 1.1 billion patacas, he said.

Ho said the Macau government would spend 10.2 billion patacas on public investment in the coming year, while offering more financial assistance to small and medium-sized enterprises, electricity and rental subsidies,and soon propose lowering of stamp duties for property purchases from three to one percent.

'(Macau will) actively develop the economy and protect people's livelihood, to collectively tide over the relative difficulties together,' Ho told Macau legislators.