Hong Kong's first-quarter economy posted a more-than-expected growth at 5.9 percent from one year ago, marking the strongest quarterly growth in nearly five years, as exports and private consumption improved.
Gross domestic product growth for the January-March period outpaced the 4 percent rise from the prior quarter, surpassing the estimated 3.5 percent. The first-quarter GDP expanded at the fastest pace since the second quarter of 2021, when the economy grew 7.6 percent.
On a seasonally adjusted basis, GDP increased by 2.9 percent quarter-on-quarter.
Private consumption expenditure advanced 5 percent in real terms, faster than the increase of 2.5 percent three months prior.
Driven by strong global demand for artificial intelligence-related electronics, the city's exports of goods surged 23.8 percent year-on-year, up from 15.4 percent in the fourth quarter last year, while exported services grew 3.5 percent in the first quarter.
Government consumption expenditure rose 2.9 percent year-on-year, while gross domestic fixed capital formation grew by 17.7 percent.
A government spokesman said that Hong Kong's economic growth outlook remains positive, underpinned by robust demand for AI-related electronics products, sustained growth in visitor arrivals, and robust cross-boundary financial activities.
Relatively solid business and consumer sentiment is expected to continue supporting domestic demand, the spokesman added.
However, the government flagged downside risks to the economic outlook amid the persistent tensions in the Middle East.
𝗗𝗼𝘄𝗻𝗹𝗼𝗮𝗱 𝗧𝗵𝗲 𝗦𝘁𝗮𝗻𝗱𝗮𝗿𝗱 𝗔𝗽𝗽 ↓
