GDP increases 3.3% YoY in Q2, faster than Q1 growth

In Q1, the economy grew by 2.8% YoY.

The economy grew by 3.3% YoY in Q2 2024, faster than the 2.8% YoY increase in Q1.

Quarter-on-quarter, the gross domestic product (GDP) increased by 0.4%.

Breaking down by GDP component, private consumption expenditure fell by 1.6% YoY, a shift from the 1.2% YoY growth in Q1. 

Conversely, government consumption expenditure increased by 2% year-on-year, compared to a 2.2% decline in Q1.

The gross domestic fixed capital formation increased by 6%, accelerating from an increase of 0.1% in the preceding quarter.

In the same quarter, Hong Kong posted an increase of 7.6% YoY in total goods exports and a 1.3% YoY uptick in exports of services.

Meanwhile, imports of services climbed by 12.4% YoY.

The government said the economy should continue to grow in the remainder of the year, but the performance of different economic segments may vary amidst uncertainties on various fronts.

Heightened geopolitical tensions, escalating trade conflicts, and the US interest rate trajectory remaining not entirely clear may add uncertainties to economic sentiment and activities.

The government will release revised GDP figures for the second quarter of 2024 and the revised forecast for the whole year on 16 August.