The Hong Kong economy contracted as initially estimated in the first quarter, the Census and Statistics Department said Friday.
Gross domestic product declined 4.0 percent in real terms in the first quarter over a year earlier, compared with the 4.7 percent expansion in the fourth quarter of 2021. The rate came in line with the estimate published on May 3.
Hong Kong’s overall economic situation in the first quarter was negatively affected by a 4.5 percent annual fall in exports of goods, led by slower growth in global demand and cross-boundary transportation disruptions amid the new wave of Covid -19 pandemic. Imports of goods decreased 5.9 percent.
Exports of services fell by 2.8 and imports of services decreased 3.4 percent.
Among main expenditure components, gross domestic fixed capital formation fell 8.4 percent in the March quarter compared to the same period last year and private consumption expenditure showed a decline of 5.5 percent. At the same time, government spending grew 6.0 percent.
On a quarterly basis, GDP contracted 3.0 percent in the first quarter, after staying virtually unchanged in the previous quarter. The latest figure was revised from a 2.9 percent fall seen in the flash estimate.
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