Portugal tried to give back this enclave of 430,000 people once before, after the revolution that ended decades of dictatorship in Portugal in 1974, but China's leaders, fearful of losing a trading channel to the outside world, demurred. Since then, the Portuguese administration has presided over Macao's steady deterioration into a disreputable, vaguely sinister gambling destination for weekend wagerers from Hong Kong. As feuds between rival Chinese gangs have terrorized the colony over the last few years, the economy has withered and Macao has become ever more hooked on the casinos, which generate more than half of its tax revenues. But in fairness, they had their own problems and couldn't pay attention to a little spot of land on the other side of the world. We are happy in Macao, but I don't think anyone is proud.
Portuguese officials are keenly aware of their checkered legacy.
They were the first Europeans to colonize in Asia, driven by a lust for adventure and discovery, and a desire to spread the Christianity that had helped free Portugal of Moorish, Muslim rule. But for all the centuries they have lingered here, the Portuguese have left behind no lasting political culture. Portugal's president, Jorge Sampaio, said that in the last decade Macao had taken on many of the hallmarks of a liberal Western state, including the rule of law, freedom of religion and a free press. For Sunday's ceremony, the departing colonial masters from a small nation on the other side of the world have produced the trappings of a momentous occasion. Officials say the translucent building is meant to resemble a Chinese lantern.