Opening of borders with mainland China no silver bullet for Hong Kong’s retail sector, economists say
- Immigration data shows net outflow of 395,619 people between January 8, when quarantine-free travel with the mainland resumed, and Tuesday
- Growth in retail sales predicted but not as big an increase as hoped, as residents account for most foot traffic and spending in city’s malls
Hong Kong economists do not expect a return of “revenge spending” following the reopening of the city’s borders with mainland China, as more people left than arrived over the Lunar New Year holiday.
Economists on Wednesday predicted a 10 to 15 per cent bump in retail sales for the first quarter of this year, compared to the same period in 2022 when the city was battling its fifth wave of the coronavirus pandemic.
More people have left Hong Kong than arrived in recent weeks. Immigration data showed a net outflow of 395,619 people between January 8, when quarantine-free travel with the mainland resumed, and Tuesday.
From January 18 to Tuesday, 793,823 people departed Hong Kong, compared with the 455,853 who entered, most of them residents, according to official data.
On Sunday, the first day of the Year of the Rabbit, Hong Kong welcomed 10,082 visitors from the mainland, 54 per cent of the total number of arriving non-residents. The number was lower than the daily average of the past seven days, which stood at 12,962.