Hong Kong on track for strongest economic growth in five years: finance chief
Hong Kong's finance chief Paul Chan said the city may see its strongest full-year economic growth in five years, citing robust exports and tourism. He flagged potential revisions upward to growth forecasts but warned of external risks from geopolitics and high interest rates.
Hong Kong's financial secretary, Paul Chan, said the city's economy is on course for its strongest full-year growth in five years, based on third-quarter data. Speaking on a radio programme, Chan noted that first-half growth reached 5.1 per cent, driven by strong exports, and that investment growth had continued into the third quarter.
Although third-quarter figures have not yet been released, Chan said exports remained very strong, supported by a busy calendar of major events and a high number of visitor arrivals. Asked whether the government would revise its full-year economic growth forecast, Chan said an upward adjustment was possible, adding that the government's economic adviser would provide more details later.
Chan said the positive momentum had extended into the fourth quarter. On whether the next budget would include more benefits for the general public, he said the government would do its best but stressed the need for prudent fiscal management given large future infrastructure spending.
The finance chief also highlighted external risks, warning that geopolitical tensions and the ongoing conflict in the Middle East could fuel oil price pressures and lead to US-led inflation. He said interest rates were expected to remain relatively high next year, which could affect the property market and the broader economy. The government, he added, would remain vigilant about financial risks.