Latest Developments

Gross Domestic Product and its major components (PDF) (Excel)

Latest situation
The Hong Kong economy posted moderate growth in 2024, mainly supported by the external sector. Real GDP grew by 2.5% in 2024. Total exports of goods reverted to growth. Exports of services continued to increase. Overall investment expenditure expanded further. However, private consumption expenditure turned to a slight decline. Looking ahead, the external environment is clouded by immense uncertainties in 2025, but there are also positive factors. Escalating trade protectionism will disrupt global trade and investment flows. Possible slower interest rate cuts in the US resulting from renewed inflationary pressures there may dampen global economic confidence. Nevertheless, further monetary easing across major economies should render support to global demand. The Mainland economy would also sustain stable growth thanks to its sound fundamentals and strong policy support by the Central Government. While Hong Kong’s total exports of goods would be affected by the US’ trade protection measures, steady global economic growth would support these exports to grow further. On exports of services, increased convenience of cross-border travel alongside the Central Government’s measures and the SAR Government’s various initiatives should help bring more visitors to Hong Kong. Cross-border financial and business activities would be supported by gradually easing financial conditions, while exports of trade-related services would benefit from continued growth of trade in goods. On domestic demand, improved economic sentiment alongside the Mainland’s more proactive policies to boost its economy, easing financial conditions, and the SAR Government’s various initiatives to promote economic growth and development should be supportive. This should be conducive to fixed asset investment, but uncertainties in the external environment may affect investor sentiment. The same set of factors, coupled with sustained growth of employment income, should boost private consumption, though the change in residents’ consumption pattern may constrain the pace of recovery. The Hong Kong economy is forecast to grow by 2% to 3% in 2025. Underlying consumer price inflation should remain moderate and is forecast at 1.5% in 2025.


External sector (PDF) (Excel)

Latest situation
The value of merchandise exports recorded a moderated year-on-year increase in January 2025 due in part to the different timing of the Lunar New Year. Exports to the United States rose notably, and those to many Asian markets saw increases of varying degree. Meanwhile, those to the Mainland and the European Union fell back. Nonetheless, it would be more meaningful to examine the figures for January and February combined, when available, to assess the underlying situation.
Looking ahead, while uncertainties in the external environment, in particular escalating trade protectionism, would continue to weigh on Hong Kong’s export performance, steady global economic growth, together with the Central Government’s various measures to boost the Mainland economy, would provide support. The Government will monitor the situation closely.


Prices (PDF) (Excel)

Latest situation
Underlying consumer price inflation was modest in January. Food prices as a whole continued to record mild year-on-year increases. Prices of energy-related items picked up further, but remained moderate. Price pressures on other major components stayed broadly in check. As the Chinese New Year this year falls on a different month compared to that in the preceding year, it would be more prudent to examine the figures for January and February combined, when available, to assess the underlying inflation situation.
Looking ahead, overall inflation should remain moderate in the near term. As the Hong Kong economy continues to grow, domestic costs may see some upward pressures. External price pressures should remain contained. However, uncertainties stemming from geopolitical tensions and trade conflicts warrant attention. The Government will continue to monitor the situation.


Labour market (PDF) (Excel)

Latest situation
The seasonally adjusted unemployment rate stayed low at 3.1% in November 2024 – January 2025, same as October – December 2024. The underemployment rate also remained unchanged at 1.1%. The labour force and total employment were at 3 826 700 and 3 716 600 respectively, declining slightly from the preceding three-month period.
Looking ahead, the labour market should remain largely stable in the near term, though uncertainties in the global economy would continue to pose challenges to some businesses.


Retail and other economic indicators (PDF) (Excel)

Latest situation
The value of total retail sales recorded a much narrower year-on-year decline in January, and turned to an increase on a seasonally adjusted month-to-month comparison, possibly due in part to the earlier arrival of the Lunar New Year this year. It would thus be more meaningful to examine the figures for January and February combined, when available, to assess the latest retail sales performance.
Looking ahead, the near-term performance of the retail sector would continue to be affected by the change in consumption patterns of visitors and residents. Nevertheless, the Central Government’s roll-out of various measures to boost the Mainland economy and benefit Hong Kong, coupled with the SAR Government’s proactive efforts to promote tourism development and boost local sentiment, as well as increasing employment earnings, would benefit the sector.


Other Economic Indicators


Hong Kong population (PDF) (Excel)


Regional headquarters/offices and external investments (PDF) (Excel)


Asset market, exchange rates and interest rates (PDF) (Excel)