Table of Contents
| I. Overview |
1. Political Stability; adjustments required in legislative operations
2. Delayed economic recovery; structural change needed in industry
3. Judicial independence maintained; slight improvement in public security
4. Press freedom basically unaffected; media self-censorship still in place
5. Growing interaction and amalgamation in PRC-Macao ties
6. The international community remains generally positive about the development of Macao
7. Three events of controversy arose during the two years after Macao's handover |
| II. Taiwan-Macao Relations |
1. Sound interactions between Taiwan and Macao governments, but systematic channels for communications remain to be established.
2. Growing exchanges among the people, room for development in economic and trade relations
3. Our open policies have strengthened bilateral relations |
Two Years After Macao Handover
An Analysis
■Political Stability; adjustments required in legislative operations
■Delayed economic recovery; structural change needed in industry
■Judicial independence maintained; slight improvement in public security
■Growing interactions and amalgamation in PRC-Macao ties
■The international community remains generally positive about the development of Macao
■3 events of controversy arose during the two years after Macao handover
■Systematic channels for communications between Taiwan and Macao remain to be established
I. Overview
During the two years after Macao handover, the whole situation in Macao has remained basically stable. The judiciary remains independent and public security has been improved slightly, with positive assessments from the international community. However, the recovery of Macao economy has been delayed by the September 11th attacks in the US.
In terms of the interactions between ainland China?and Macao, the Mainland authorities have exerted significant hidden influence on the policy directions and political operations of the Macao Special Administrative Region Government, and capital from Mainland China has increased its control over Macao economy. Strengthened by the development of pro-PRC social bodies in Macao, interaction and amalgamation with Mainland China and Macao have been growing.
In terms of the relationship between Taiwan and Macao, the interactions have been sound. However, affected by the overall climate of cross-strait relations, significant progress has been lacking. We will, however, still continue to strive to enhance interaction, understanding and cooperation with all sectors of Macao society on a goodwill, pragmatic and service-oriented basis. We also hope that the Mainland and Macao SAR governments can handle Taiwan-Macao relations with a sincere, friendly and pragmatic attitude, building a mechanism for systematic governmental liaison and coordination between Taiwan and Macao in order to establish stronger foundations for bilateral relations.
The overall circumstances in Macao over the past year are assessed as follows:
1. Political Stability; adjustments required in legislative operations
Over the last year, the effects of the ne country, two systems? policy of the Macao SAR government has been reflected in the administrative objectives of social stability and economic prosperity; preliminary results have been obtained in government institutional reform. The Macao SAR government has striven towards increasing administrative efficiency and its crisis management capability.
The Macao SAR government has followed Portuguese customs in cooperating with pro-PRC social bodies (e.g., Macao Labourers General Union, Macao General Union of Neighbors Associations, Macao Chinese Chamber of Commerce and Macao Women General Association etc.), in exchange for the successful implementation of policies. However, the approved policies reflect the interests of these civic groups, and a significant gap remains between the policies and the requirements of residents.
In the election for the 2nd Legislative Council, the previous minority emocratic New Macao?achieved the best results. This demonstrated not only that Macao residents desire strengthening of the government administrative capabilities, but also, by delivering a blow to the legislative status quo, the election showed the need for change. Although the result of the election strengthened the pro-democracy forces, they remain unable to counter the traditional pro-PRC bloc, so the results of the election will have limited effect on the development of a democratic political system.
2. Delayed economic recovery; structural change needed in industry
The Macao economy has been depressed for a long time and unemployment remains high. Although the Macao SAR government has lent impetus to numerous developments, no substantial results have been forthcoming. The September 11th terrorist attacks in the US have depressed the economy further, delaying its recovery.
Also, the ending of the gambling monopoly (currently held by Macao Tourism and Amusement Company Limited and expiring at the end of this year) and the canceling of the worldwide garments quota system in 2005 means that the Macao economy looks likely to be based in the future on the gambling industry and reliant on the service sector: structural adjustment is imminent. As the SAR government expects to issue three gambling licenses and raises the level of gambling duties to the highest rate in the world (35%), whether such moves will result in vicious competition amongst operators remains to be seen.
3. Judicial independence maintained; slight improvement in public security
The Macao legal system is based on civil law, with obvious Portuguese characteristics and has been dominated for a long time by a small group of Portuguese and locally-born Portuguese people. Since Macao handover, in order to let the current legal system connect to the SAR legal system (the Basic Law of Macao), the ocalization of the legal system?has become a fundamental part of legal development in Macao. For the last year, there has been no major public debate or dispute about judicial independence in Macao. US State Department reports have been positive about a lack of political interference with the judiciary in Macao and the fairness in the process of appointing judges.
Also, the Macao SAR government has made improving public security an administrative priority in order to woo the public. It has not only strengthened the patrolling procedures of the local police, encouraging neighborhood watch programs amongst the people, but has also strengthened cooperation on joint criminal investigations and information exchanges with Hong Kong and Guangdong, and public security has slightly improved.
4. Press freedom basically unaffected; media self-censorship still in place
Since the handover of Macao, the news media have followed the principles of ress freedoms? reedom to set directions? ndependent management?and elf-restraint? Newspaper reports have concentrated on issues avoiding expression of political opinions. Generally speaking, the media still walk in line with government policy and self-censorship is common.
5. Growing interaction and amalgamation in PRC-Macao ties
Since the handover of Macao, the SAR government has adopted several policies protecting Mainland institutions (or persons). Politically, opportunities have been created as far as possible to allow local capital from Mainland China to be involved in local politics, and economically, the monopoly interests of capital from Mainland China has been protected. In addition, the Macao SAR government has strengthened visits between civil servants of both sides, judicial cooperation, cultural and education exchanges, trade and investment promotions and benefits, etc., showing growing interaction and amalgamation between the two parties.
On the whole, under the principles of tability?and teadfastness? while the appearance of ne country, two systems?and he people of Macao governing the affairs of Macao?are maintained, in reality, the Mainland authorities interfere with the affairs of Macao in all respects. While the Mainland modus operandi has been low-key, its influence appears to be strengthening.
6. The international community remains generally positive about the development of Macao
While the situation in Macao since the handover has not been the focus of international attention, the US and the EU, traditionally close to Macao, have been concerned about its overall development. The US State Department continues to affirm that nder the sovereignty of hina? Macao generally remains moving on a positive direction in development? and has urged the Macao SAR government to better anti-crime measures. The EU has welcomed the steady and smooth development of Macao since the handover and the sound progress in the relationship between the two parties. However, the EU emphasized that only with respect towards the principles of ne country, two systems?and the regulations of the Basic Law can Macao sustain stable development.
7. Three events of controversy arose during the two years after Macao handover
According to media reports, during the two years after the handover of Macao, there have been three controversial events regarding liberty, human rights and the rule of law, that tested the promise that the way of life in Macao would remaining unchanged for 50 years after the handover. Most of these events are related to the arrests, detention or refusal of entry for dissidents, showing that the problems about human rights and liberty in Macao will remain of considerable concern in the future.
II. Taiwan-Macao Relations
1. Sound interactions between Taiwan and Macao governments, but systematic channels for communications remain to be established
Our Macao Affairs Office (known externally as the Taipei Economic & Cultural Center) is our representative office in Macao. Since its establishment on December 20, 1999, it has made aggressive moves toward interaction with the SAR government. However, limited by "Qian Seven Articles? the SAR government remains conservative and restrained in Taiwan-related affairs, so that systematic channels for government communications remain to be established. To strengthen the actual relations between the two parties, we will continue to strengthen liaison channels with all sectors of Macao society, expressing our good will and hope for the strengthening of official contact and promotion of the level of exchanges.
2. Growing exchanges among the people, room for development in economic and trade relations
Since the handover of Macao, there continue to be developments between Taiwan and Macao in social, cultural, educational, economic, trade and travel exchanges. More than 25,000 Macao residents visited Taiwan in the first eleven months of this year, and 1,077,000 Taiwan visitors traveled to Macao, making Taiwanese the third largest group of visitors to Macao. In economic and trade exchanges during the first eleven months of this year, the volume of trade between Taiwan and Macao amounted to US$290 million, with our exports to Macao amounting to US$250 million and imports from Macao amounting to US$41 million. Our export surplus amounted to US$209 million, showing close economic and trade relations between the two parties.
3. Our open policies have strengthened bilateral relations
Since August 8, 2001, our government has simplified visa procedures for Hong Kong and Macao persons visiting Taiwan. All permanent residents of Hong Kong and Macao who visit Taiwan can apply for temporary entry for up to fourteen days on their arrival by air or by sea with valid documents. This open policy has greatly helped attract Macao residents to Taiwan, facilitating economic, sight-seeing and trade exchanges and cooperation between Taiwan and Macao. The Macao SAR government also believes that our implementation of this policy above has encouraged exchanges between Taiwan and Macao.