The first round of Macao’s “First Store Economy Program” has attracted significant market attention, receiving over 600 inquiries and more than 40 formal applications, according to the Macao Trade and Investment Promotion Institute.

Launched to enhance the city’s commercial appeal and diversify its retail and tourism offerings, the program focuses on attracting new-to-market brands, including those incorporating technology-driven formats.

Strong Participation and Emerging Retail Trends

Initial results suggest solid market response, broadly meeting policy expectations. Key characteristics include:

• ≈87% of applications involve partnerships between Macao companies and external brands

• Brand origins span Mainland China, Portugal, Thailand, Hong Kong and Taiwan

• Nearly 46% of applicants have identified locations in designated districts such as New Port Area, San Kio and Areia Preta

Notably, a growing share of applications features new retail formats with technology integration, including interactive gaming experiences and product experience centers, reflecting a shift toward experiential and tech-enabled consumption models.

Policy Design: Targeted Subsidies and Urban Revitalisation

The program adopts a structured approval mechanism, with project evaluation conducted by an investment committee based on:

• brand positioning and differentiation

• financial viability

• broader public interest

Qualified projects receive funding on a reimbursement basis, subject to verified operating and expenditure documentation.

Beyond basic subsidies, the scheme offers additional incentives for brands that:

• locate in eight designated districts to support community-level economic development

• hire a specified number of local full-time employees

The maximum subsidy per project is MOP 1 million, aligning financial support with both commercial impact and employment generation.

A Multi-Year Strategy to Diversify Macao’s Economy

Introduced in 2025, the program runs for three years across six application rounds, forming part of Macao’s broader effort to:

• enhance its business environment attractiveness

• expand tourism-driven consumption scenarios

• introduce new services and retail formats

The second application round will open from 1 May to 31 July 2026, with authorities aiming to further attract international and regional brands.

Strategic Implications

For international investors and retail operators, the program signals Macao’s shift toward a more diversified, experience-driven consumption economy, moving beyond its traditional reliance on gaming and tourism.

By combining financial incentives, location targeting and brand curation, the initiative positions Macao as an emerging testbed for cross-border retail concepts and tech-enabled consumer experiences in the Greater Bay Area.