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 grew sharply by 18.5% in March over a year earlier. Exports to the Mainland grew strongly, while those to other major Asian economies showed mixed performance. Exports to the United States increased visibly, and those to the European Union registered a marginal increase.
Looking ahead, global trade tensions have escalated abruptly due to the significant increases in tariffs by the United States in early April. This will pose challenges to Hong Kong’s merchandise trade performance. Nevertheless, the steady growth in the Mainland economy, together with Hong Kong’s proactive efforts in enhancing economic and trade ties with different markets, should help buttress trade performance. The Government has been providing support to enterprises through various measures in coping with the external challenges, and will monitor the situation closely.


Prices (PDF) (Excel)

Latest situation
The underlying consumer price inflation stayed modest in March. The underlying Composite CPI increased by 1.0% over a year earlier in March, smaller than the increase of 1.3% in January and February combined. Price pressures on various major components stayed contained in general.
Looking ahead, overall inflation should remain modest in the near term. External price pressures should be broadly in check, though escalating trade conflicts continue to warrant attention. The Government will monitor the situation closely.


Labour market (PDF) (Excel)

Latest situation
The seasonally adjusted unemployment rate stayed low at 3.2% in January – March 2025, same as December 2024 – February 2025. The underemployment rate also remained unchanged at 1.1%. The labour force and total employment declined further to 3 815 500 and 3 692 700 respectively from the preceding three-month period.
Looking ahead, the increasingly uncertain external environment due to escalated trade conflicts may weigh on hiring sentiment in some sectors. Nonetheless, the continued growth of the Mainland economy, supported by the Central Government’s boosting policies, alongside the SAR Government’s various policy measures to continuously promote economic growth and support enterprises, are expected to provide support to labour demand. The SAR Government will stay vigilant and continue to closely monitor the labour market situation.


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)