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Hong Kong economy grows at fastest pace in six years, smashing gloomy forecasts

GDP expands by 4.3pc buoyed by stock markets, hot property sector, growing employment and positive global outlook

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The number of visitor arrivals to Hong Kong between January and March was up 3.7 per cent on the same period last year. Photo: Nora Tam
Danny Lee

Hong Kong’s economy grew at its fastest pace in six years in the first quarter, putting it on track to hit the top end of the government’s target for 2017.

Shrugging off officials’ previous gloomy forecasts of tepid performance, gross domestic product grew 4.3 per cent, according to official figures released on Friday.

The expansion in the economy was boosted by the buoyant stock market, increased trade, a hot property sector, robust employment and an encouraging global economic outlook, the government and experts said.

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The overall performance was well above the 3.7 per cent average forecast by analysts.

Updated figures for the final quarter of 2016 were up 0.1 per cent to 3.2 per cent, signalling a fast and sustained improvement in the economy, experts said.

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The growth in the economy was boosted by a reviving tourism sector. Photo: Felix Wong
The growth in the economy was boosted by a reviving tourism sector. Photo: Felix Wong

The economy was “sustaining the improving trend that began in the second quarter of last year”, acting government economist Andrew Au Sik-hung said.

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