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casinos, organized crime… What happens to this territory returned to China 25 years ago

25 years ago, the Chinese flag was raised in Macau, marking the end of 442 years of Portuguese rule. Since then, the inhabitants have celebrated every year, like this Friday, December 20, the handover of this peninsula to China.

For the occasion, the leader of the Chinese Communist Party Xi Jinping, present since Wednesday in Macau, will participate in the birthday ceremonies and the inauguration of the new head of the executive Sam Hou Fai, 62 years old. The latter is the first leader of the peninsula to be born in mainland China, and not in Macau. However, he speaks Portuguese fluently, the territory’s second official language after Chinese.

Until its return to China, Macau was a Portuguese colony, reminiscent of the powerful maritime empire of the 14th century. In 1966, a popular revolt led by pro-communist residents broke out on the peninsula. Portugal, which has long wanted to get rid of this territory considered cumbersome, then proposed to return Macao to the People’s Republic of China.

“One country, two systems”

But Beijing procrastinated because, 65 km away, violent riots took place the same year in Hong Kong and were already destabilizing the region. The handover of Macau will therefore wait, even if in fact, “ China has de facto control of the peninsula since this period », Underlines Jean-Philippe Béja, emeritus researcher at the CNRS and specialist in China. For example, the colony plays an important role in Chinese import and export networks.

After negotiations started in 1986, the two parties signed a treaty providing for the return of Macao to China in 1999, according to the “one country two systems” doctrine, first decreed in 1982 by Deng Xiaoping.

Macao, like Hong Kong two years earlier, became a capitalist and democratic enclave governed by a Basic Law, in force for 50 years. Officially, this law provides for a certain autonomy for the territory, except in matters of foreign affairs and defense which fall within the purview of Chinese central power.

“A dream” for Beijing

Unlike Hong Kong, Macau has since represented “ a dream for Beijing », explains Jean-Philippe Béja. “ Today, the peninsula is in fact totally controlled by the central power, protest does not exist “. Already in 1999, unlike what happened in the former British colony, soldiers sent from mainland China were welcomed in Macau with approval by the majority of the population, then made up of 96% Chinese. .

Another striking fact: the lack of political pluralism. The chief executive of Macau, who is accountable to the Chinese government, is indirectly elected by a ” electoral commission » composed of 300 members acquired from the Chinese Communist Party. “ Since the handover, there has never been more than one candidate for this position per election, » recalls Jean-Philippe Béja.

The Las Vegas of Asia

Once a strategic port, Macau changed profoundly in the 20th century. By its status, the peninsula is the only place in China where casinos are authorized. The gaming industry occupies a major place (21% of GDP in 2021), and represents around 80% of the region’s tax revenue.

« This Las Vegas of Asia offers the opportunity for a large number of Chinese politicians and tycoons to come and play, and above all allows mass money laundering » underlines Jean-Philippe Béja. “ In 1999, the idea was to diversify the peninsula’s economy, without much success. »

Prostitution, presence of Chinese triads… In Macau, organized crime and violence are still problematic today, despite the adoption in 2022 of new regulations aimed at encouraging economic diversification while curbing the flow of illegal capital.

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