Hong Kong maintains growth forecast for 2024 as economy expands 3.3% in second quarter
- Economy should continue to grow for remainder of the year, but faces challenges such as geopolitical tensions, government says
The Hong Kong government has expressed confidence the city will meet its economic forecast for 2024 as a whole, following moderate growth of 3.3 per cent year on year in the second quarter.
The Census and Statistics Department revealed on Friday the second-quarter figure was in line with its advance estimate, having increased by 2.8 per cent year on year in the first three months. The government said it would maintain its full-year growth forecast of between 2.5 per cent and 3.5 per cent.
Government economist Adolf Leung Wing-sing said the economy should continue to grow for the remainder of the year, but faced challenges such as geopolitical tensions as well as global economic and interest rates uncertainties.
To meet the full-year forecast, he said, growth in the latter half of the year had to be between 2 per cent and 4 per cent.
“Exports of goods should sustain a positive performance if external demand holds up, though trade conflicts will present risks,” he said.
“Continued local economic expansion should lend support to fixed asset investment, but geopolitical tensions and interest rate uncertainties may dampen business confidence and asset markets.”