Hong Kong's economy is continuing to boom, with a rise in both exports and imports in the past year. Figures for last month show exports rose 12.7 per cent to $205.9 billion compared to the same month last year, after growing 8.1 per cent in July. Imports increased 12.9 per cent to $209.9 billion in August, leaving a trade deficit of around $3.9 billion for the month. In the first eight months of the year, exports rose 11.3 per cent over last year. Re-exports - goods made elsewhere that have value added in Hong Kong - increased by 12.1 per cent in August. A government spokesman said there had been a distinct rise in exports to the mainland, Europe and some East Asian economies. Exports to The Netherlands surged 89.1 per cent, to Germany 17.9 per cent, Japan 69.1 per cent and Australia 50.1 per cent, along with a 30.6 per cent increase in exports to the mainland. The spokesman said trade was likely to continue to grow solidly for the rest of the year, supported by the recovery of the global economy and trade with the mainland. But he also warned surging oil prices and rising interest rates in the US could dampen demand for exports. There was also concern over the lasting effects of disruption to the US economy caused by hurricanes Katrina and Rita.