Economy up 3.1% in Q2 2025

Unemployment rate also rose to 3.5%.

Hong Kong’s economy grew 3.1% year-on-year in the second quarter of 2025.

Acting Government Economist Cecilia Lam presented the figures in the Half-yearly Economic Report 2025, noting that on a seasonally adjusted quarter-to-quarter basis, real GDP increased 0.4% in Q2.

She said exports of goods surged 11.5% amidst strong external demand and temporary US tariff easing, whilst exports of services rose 7.5%, supported by tourism and financial sector activity.

Private consumption rebounded 1.9% after four quarters of decline.

Additionally, the unemployment rate rose to 3.5%, though wages increased.

The residential property market showed signs of stabilisation, with flat prices broadly steady and rentals remaining resilient.

Meanwhile, inflation remained modest during the quarter, with the underlying composite consumer price index (CCPI) up 1.1% year-on-year and the headline CCPI rising 1.8%.

The region’s economy is expected to maintain growth for the rest of 2025, Lam said, citing steady regional growth, rising wages, a robust stock market, and government measures to boost consumption and investment.

The government kept its 2025 GDP growth forecast at 2–3% and inflation forecasts at 1.5%–1.8%.