HK SME business transaction index improves to 49
This is the third straight month in a row that smaller businesses felt better about their future prospects.
The Census and Statistics Department (C&SD) released the Monthly Survey on Business Situation of Small and Medium-sized Enterprises (SMEs) results for August 2021 on 9 September.
The current diffusion index (DI) on business receipts amongst SMEs increased from 46.6 in July 2021 to 49.0 in August 2021, whereas the September 2021 outlook DI on business receipts was 49.5.
Analysed by sector, the current DIs on business receipts for many surveyed sectors rose by varying degrees in August 2021 as compared with the previous month, particularly for the retail trade (from 44.6 to 52.4) and wholesale trade (from 43.4 to 50.0). The current DI on new orders for the import and export trades increased from 47.9 in July 2021 to 49.5 in August 2021, the outlook DI on new orders in September 2021 was 50.3.
According to a government spokesman, the business sentiment among SMEs improved for the third consecutive month in August because of global economic recovery and the stabilised local epidemic situation. In particular, the sub-index for retail trade rose notably and entered the expansionary zone amid the boosting effect of the Consumption Voucher Scheme. The spokesman adds the government's disbursement of the second batch of electronic consumption vouchers would support the consumption-related sectors for the rest of the year.
The business prospects of prominent establishments in Hong Kong, meanwhile, can be seen on the "Report on Quarterly Business Tendency Survey" released by the C&SD.