The president of the Legislative Assembly’s (AL) Follow-up Committee for Public Finance Affairs, Mak Soi Kun, told reporters on Tuesday that the committee members have reviewed the government’s 2019 foreign exchange reserves, fiscal reserves and Guangdong-Macao Cooperation and Development Fund’s investment scheme, adding that they are satisfied with its investment performance.
Mak briefed reporters after a closed-door meeting of the committee at the Legislative Assembly Building in Sai Van.
Mak said that the committee suggested the government pay more attention to Macao’s foreign exchange reserves, pointing out that even though the average rate of return on investment (ROI) in the foreign exchange reserves is 1.6 per cent, compared to other similar kinds of reserves or funds, its annual rate of return is comparatively low.
Moreover, when talking about the Guangdong-Macao Cooperation and Development Fund, Mak said that the recent trade war between the United States and China has continuously depreciated the value of the yuan. Mak said the committee gave a few suggestions, such as setting a standard exchange rate between the yuan and the pataca to ensure the government’s investment profit would not be affected by the yuan’s depreciation.
Tuesday’s exchange rate between the national currency and Macao’s legal tender stood at 0.87 yuan per 1 pataca.
The committee also discussed setting up a new system for civil servants’ retirement fund.