Macao's new five-year plan pushes diversification

August 20, 2026 (MLN):  Macao has unveiled its third five-year plan, charting policy priorities centered on economic diversification, social progress and closer integration with national development, nearly three decades after its return to China under the "one country, two systems" policy.

The plan, covering the period through 2030, builds on the SAR's two earlier five-year roadmaps and comes as Macao continues its transformation from a city once known largely for casinos into one of the world's wealthiest economies by GDP per capita, marked by a dynamic economy, low crime and an expanding social welfare system.

Macao SAR Chief Executive Sam Hou Fai said the plan positions the territory within the broader arc of national development and gives effect to relevant arrangements under the country's 15th Five-Year Plan for 2026-2030.

Economic diversification remains the throughline across all three plans, from the first issued in 2016 to the present one. Sam described diversification as essential to sustaining Macao's long-term prosperity and stability, calling it a task the SAR government must pursue regardless of its difficulty, APP reported.

The government plans to advance this goal through major projects and a dedicated guidance fund, building Macao into a world tourism and leisure center while developing priority sectors big health, modern finance, high technology, exhibitions and conventions, and culture and sports.

The plan sets a target of lifting non-gaming industries' share of GDP to around 60% by 2030.

Cheong Chok Man, director of the Policy Research and Regional Development Bureau, said the target means Macao will need to intensify its efforts toward greater diversification. Major diversification-related projects are expected to draw roughly 130bn patacas (about $16.1bn) in budgeted investment  a substantial commitment given Macao's economy stood at roughly $50bn in 2025, according to Lao Chi Ngai, president of the Macao Economic Association.

On regional integration, the plan is designed to push forward high-quality development of the Guangdong-Macao In-Depth Cooperation Zone in Hengqin, located in Zhuhai across a narrow waterway from Macao and established in 2021 to expand Macao's development space.

This year marks a critical juncture in the zone's second development phase, with the plan calling for reform-driven progress and deeper integration anchored in science, technology and education. It sets quantitative targets spanning industrial diversification, cross-border flows of production factors, and shared public services.

Richard W. Hu, dean of the Faculty of Social Sciences at the University of Macau, said the plan moves beyond sector-specific integration toward a broader model spanning industries, livelihoods, talent and governance  with Hengqin envisioned as an integrated urban extension of Macao's industries and a cross-border community that could exemplify the institutional strengths of "one country, two systems."

Security features as a third major pillar.

Yin Yifen, director of the Social, Economic and Public Policy Research Center at Macao Polytechnic University, said Macao faces potential challenges from both traditional and non-traditional security risks amid a complex international landscape.

The plan seeks to strengthen the legal and enforcement framework for national security, bolster governance in emerging areas such as cyberspace, data and artificial intelligence, advance smart policing, and expand national security education for young people.

Yin Yifen said embedding security into SAR governance would help lay a stronger foundation for diversification, improved livelihoods and deeper mainland integration.

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