HK economy grows 4.1% YoY in 3Q23
Despite the increase, the government cut its 2023 economic growth forecast to 3.2%.
Hong Kong’s economy continued to revive in 3Q23, with real gross domestic product (GDP) rising 4.1% YoY in 3Q23.
On a quarter-on-quarter comparison, the economy increased by 0.1%.
According to the Census and Statistics Department (C&SD), inbound tourism and private consumption remained the key drivers of economic growth in 3Q23.
In 3Q23, private consumption expenditure grew by 6.3% YoY, whilst government consumption expenditure declined by 4.5% YoY.
During the same period, exports and imports of services rose significantly, increasing by 23.9% YoY and 28.3% YoY, respectively.
On the flip side, total goods exports (-8.6% YoY) and imports (-5.9% YoY) declined.
The government expects Inbound tourism and private consumption to underpin economic growth for the rest of the year.
“As regards private consumption, continued improvement in household income and the government’s various support initiatives including Night Vibes Hong Kong should provide support. Yet, the difficult external environment would continue to weigh on exports of goods and investment and consumption sentiment,” Government Economist Adolph Leung said.
Taking into account the external environment, the government revised its economic growth forecast for 2023 as a whole to 3.2%, from 4% to 5% in the August round of review.