Macau's Casino Middlemen Squeezed by China's Delinquent Debtors
- Monthly VIP wagers fall more than two-thirds from 2013 levels
- More than 30 VIP rooms closed in past four months, group says
Kwok Chi-chung, president of Macau's Association of Gaming and Entertainment Promoters. Photographer: Xaume Olleros/Bloomberg
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Macau’s gaming promoters, who loan money to Chinese high-rollers for gambling in the city’s struggling casinos, increasingly find themselves in a new line of business: debt collection.
The so-called junket operators, who use personal connections to lure high-stakes players to the city’s baccarat tables, are collecting only 20 percent to 30 percent of their debts, said Kwok Chi-chung, president of Macau’s Association of Gaming & Entertainment Promoters. In 2013, 70 percent of loans were repaid promptly, he said.