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
Hong Kong’s merchandise exports continued to see solid increase in general in early 2025. Taking the first two months of 2025 together to remove the effect of the earlier arrival of the Chinese New Year this year, the value of merchandise exports grew by 6.5% over a year earlier. Exports to the Mainland increased visibly, and those to many other Asian markets also increased. Exports to the United States rose marginally, while those to the European Union declined.
Looking ahead, the tariff measures introduced so far by the United States and the uncertainties surrounding protectionist policies would continue to pose challenges to Hong Kong’s merchandise trade performance. Nevertheless, the sustained growth in global economy in particular the Mainland economy, should render support to Hong Kong’s exports. The Government will monitor the situation closely.


Prices (PDF) (Excel)

Latest situation
Underlying consumer price inflation stayed modest in early 2025. Taking the first two months of 2025 together to remove the effect due to the different timing of the Chinese New Year, which fell in late January this year but around mid-February last year, the underlying Composite CPI increased by 1.3% over a year earlier, same as the increase in December 2024. Price pressures on various major components stayed largely contained.
Looking ahead, overall inflation should remain moderate in the near term. Domestic costs pressures might increase somewhat as the economy continues to grow. External price pressures should remain broadly in check, though uncertainties stemming from geopolitical tensions and trade conflicts continue to warrant attention.


Labour market (PDF) (Excel)

Latest situation
The seasonally adjusted unemployment rate stayed low at 3.2% in December 2024 – February 2025, though edging up by 0.1 percentage point over November 2024 – January 2025. The underemployment rate remained unchanged at 1.1%. The labour force and total employment were at 3 821 300 and 3 709 500 respectively, declining slightly from the preceding three-month period.
Looking ahead, the labour market should remain largely stable in the near term amidst continued economic expansion, though some businesses would be affected by the uncertainties stemming from the United States’ trade protection measures.


Retail and other economic indicators (PDF) (Excel)

Latest situation
The value of total retail sales increased further in February 2025 over the preceding month on a seasonally adjusted comparison. The year-on-year decline in the value of total retail sales in February 2025 widened, partly due to the earlier arrival of Chinese New Year in late January this year as compared to mid-February last year. Taking the first two months of 2025 together to remove this effect, the value of total retail sales saw a narrower decline on a year-on-year basis than December 2024.
Looking ahead, the various measures by the Central Government to boost the Mainland economy and benefit Hong Kong, the SAR Government’s proactive efforts to promote tourism and mega events, and the sustained increases in employment earnings in local labour market, would benefit the retail sector, though it would continue to face challenge from the change in consumption patterns of visitors and residents.


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)