Businesses ‘slightly’ more optimistic about Q1

This could improve with the lifting of social distancing measures.

The overall sentiments of businesses in Hong Kong is “slightly” more optimistic for the first quarter of the year, the Census and Statistics Department (C&SD) reported. 

In its Q1 report, the proportion of respondents that expect business situations to improve in the first quarter of the year stood at 19%, higher than the 16% recorded in the previous quarter. 

This is also higher than the 13% that expect business situations to be worse in the first quarter. 

Read more: External environment, cross-border travel disruption weigh business sentiment

“Overall business sentiment among large enterprises improved slightly as compared to three months ago, though a mixed performance was seen across different sectors. Large enterprises' appetite for hiring stayed largely positive,” a government spokesman said.

“Looking forward, the spokesman pointed out that the removal of most local social distancing measures and the progressive resumption of normal travel between the Mainland and Hong Kong should provide support to business sentiment, though tightened financial conditions and the deteriorating global economic outlook will continue to bring uncertainties.”