Call to restore economic vitality as Tai Po fire dampens spending sentiment

Lawmaker Shiu Ka-fai has urged the city to restore its economic vitality despite the tragedy of the Tai Po fire, as the industry expects the "Southbound Travel for Guangdong Vehicles" scheme to stimulate consumption.

Speaking on a radio program on Sunday (Dec 14), Shiu noted that Hong Kong's retail sales have shown signs of stabilizing in recent months, following a continuous decline of more than ten months.

However, the Tai Po fire and the cancellation of many large-scale events have reduced the public’s willingness to spend, resulting in weak business performance.

He quoted fire victims as saying, "Hong Kong actually needs to move forward gradually," and expressed hope that residents will still participate in economic activities with Christmas approaches.

Meanwhile, the executive director of the Federation of Hong Kong Hotel Owners, Caspar Tsui Ying-wai, noted that hotel accommodations have not been affected by the tragedy, as they primarily rely on non-local visitors.

He pointed out, however, that hotel catering has been impacted by the cancellation or postponement of Christmas events by public institutions or the government, which has dealt a blow to overall market conditions.

Regarding measures to stimulate the market, both Shiu and Tsui expressed hope that the "Southbound Travel for Guangdong Vehicles" scheme, set to take effect next Tuesday, will attract high-spending mainland visitors to Hong Kong.

Shiu agrees with the government's approach of implementing the policy in a gradual yet swift manner, which he believes will benefit the overall economy.