THE CONTRIBUTION OF CULTURAL TOURISM TO ECONOMIC DIVERSIFICATION IN MACAU FROM THE TOURISM INDUSTRY PERSPECTIVE

Since 2002, following the liberalization of Macau’s gaming licenses, the region experienced a
decade of double-digit growth. This rapid expansion resulted in a heavy reliance on the gaming
industry, which persisted until the first economic shock in 2014, when Macau’s GDP declined
for 26 consecutive months. In response, the Macau government announced “The Five-Year
Development Plan of the Macau SAR (2016-2020),” designating cultural tourism as a major
development policy. Leveraging its rich historical blend of Eastern and Western cultures,
heritage, architecture, and festivals, Macau began exploring cultural tourism as a strategic means
to diversify its economy. In the “Moderate Economic and Diversification Plan of Macau SAR
(2024-2028),” Macau emphasized the “1+4 moderately diversified economic development
strategy” and launched the “tourism +” initiative, integrating tourism into more comprehensive
experiences. Cultural tourism has been developing since 2016, facing various economic and
health challenges, including economic shocks and COVID-19. Now is an right time to review the
achievements and current status of cultural tourism, assess its contribution to economic
diversification, and guide future resource allocation and development planning.
The importance of this research lies in its comprehensive approach to understanding both the
direct and indirect economic impacts of cultural tourism, as well as its role in community
development and long-term sustainability.
To achieve its objectives, the research employs a mixed-methods approach. Quantitative
correlation analysis, using official data from 2014 to 2024, assesses the relationship between
cultural tourism indicators and Macau’s economic performance. Qualitative in-depth interviews
with industry experts further explore the mechanisms through which cultural tourism influences
economic diversification, social development, and community engagement.
The findings reveal that cultural tourism has a significant positive impact on Macau’s nongaming
sector, supporting job creation, skill development, and cross-industry collaboration. It
attracts a broader and more diverse tourist base, including younger and family groups from
mainland China and international visitors with higher spending power.
By seizing the opportunities brought by the “unilateral visa-free policy” from mainland to
international tourists, Macau can develop unique cultural events and expand their scale across
different events and activities. At the same time, these efforts can be leveraged to drive cultural
tourism within specific community areas. To achieve this, cross-departmental project teams are
needed for urban tourism planning, and administrative procedures for organizing cultural events
should be streamlined to shift the focus from large-scale events to encouraging community
involvement. Ultimately, this will help build sustainable relationships within society.
In conclusion, this dissertation demonstrates that cultural tourism is an effective strategic tool
for Macau’s economic diversification and sustainable development. The study recommends
prioritizing mechanisms that ensure strong community partnerships and involvement.
Developing unique cultural events and extending their scope can prolong visitor stays and
enhance the city’s image, while enriching the vertical cultural industry chain can further improve
the tourist experience and encourage longer visits. Achieving these goals is a long-term social
development plan that requires cooperation at multiple levels. These insights provide practical
guidance for policymakers and practitioners seeking to strengthen Macau’s cultural tourism
sector, diversify the economy, and ensure long-term sustainability.