General situation of Hong Kong economy
------------------------------. Before 1951, Hong Kong's economy was dominated by entrepot trade. From the 1951s, Hong Kong began to industrialize, and by 1971, industrial exports accounted for 81% of the total exports, which indicated that Hong Kong had changed from a simple entrepot to an industrialized city and realized the first economic transformation of Hong Kong. In the early 1971s, Hong Kong pursued the policy of economic diversification, and its finance, real estate, trade and tourism developed rapidly. Especially since the 1981s, the mainland factor < P > has become the most important external factor to promote Hong Kong's economic development. Most of Hong Kong's manufacturing industries have moved to the mainland, and all kinds of service industries have developed at a high speed, realizing the second economic transformation from manufacturing industries to service industries.
Today, Hong Kong has developed into an international trade, finance and shipping center in the Asia-Pacific region. In 2111, Hong Kong's GDP reached HK$ 1,271.7 billion and its total trade volume reached HK$ 3,231.7 billion, making it the tenth largest trading entity in the world, with the port container throughput reaching 18 million cases, ranking first in the world. There are 154 banks, and the number of foreign banks ranks third in the world; At the end of 2111, the total market value of Hong Kong stock market reached HK$ 4,862.5 billion, ranking ninth in the world. The daily turnover of the foreign exchange market reached $79 billion, ranking seventh in the world; At the end of 2111, foreign exchange reserves reached US$ 117.5 billion, ranking third in the world.
* Advantages of Hong Kong's economic development
The advantages of Hong Kong are that it is an international city with convenient business environment, complete legal system, free trade policy and information flow, fair and open competition, and convenient factors such as financial network and communication infrastructure network. In addition, Hong Kong has huge fiscal reserves and foreign exchange reserves, a freely convertible and stable currency, and a simple tax system with low tax rate, which makes Hong Kong develop into one of the regions with strong competitiveness.
* Hong Kong's economic structure
With the transfer of Hong Kong's manufacturing industry to the Mainland, its scale is constantly expanding, and Hong Kong companies have gradually evolved into production control centers and service centers responsible for fund-raising, procurement, design, marketing and goods transit, and Hong Kong's service industry has gradually changed from serving the local manufacturing industry to serving the manufacturing industry in the whole Pearl River Delta region. The proportion of service industry in GDP has increased from 67% in 1981 to 85.4% in 1999. Hong Kong's service industry includes wholesale and retail, foreign trade, catering and hotel industry, transportation and communication industry, finance and insurance industry, real estate industry, legal accounting and other professional service industries. Among the service industries, finance and insurance, real estate and commercial services account for the largest proportion, accounting for 26% of the local GDP; Followed by wholesale and retail and import and export trade, catering and hotel industry, accounting for 34%; Community, social and personal services account for 21%; While the transportation, warehousing and communication industries account for 9%.
Hong Kong's manufacturing industry lives in small and medium-sized enterprises, and is known for its flexibility. At present, the manufacturing industry is still dominated by textiles and clothing, and others include toys and electronics, printing and publishing, machinery, metal manufacturing, plastics, jewelry and watches. The manufacturing industry accounted for 5.7% of Hong Kong's GDP in 1999.
* Economic ties between Hong Kong and the mainland of China
In the late 1971s, the reform and opening up in the mainland provided a broad space for Hong Kong's economic development, and the economic cooperation between the two places gradually developed to a new stage. At present, most of Hong Kong's manufacturing industries have been transferred to the Mainland for development, and the scale of enterprises is constantly expanding. Hong Kong's service industry provides various services for investment and trade activities between the two places, and it is growing rapidly. A large number of mainland enterprises came to Hong Kong to raise funds, which promoted the development of Hong Kong's financial and securities industry. The mainland is Hong Kong's largest trading partner, and Hong Kong's entrepot trade mainly revolves around the mainland. Over the past 21 years, Hong Kong's foreign trade volume has doubled. Similarly, over the years, Hong Kong has served as an important external window and intermediary for the mainland to introduce capital, technology and management, which has played a very important role in promoting the rapid development of the mainland economy since the reform and opening up. For a long time, the economies of the two places have developed together in mutual promotion.
With China's imminent accession to the World Trade Organization, further opening-up and western development will bring new opportunities to Hong Kong's economic development, and its role as a bridgehead will become more important. Hong Kong's position as an international financial, trade, shipping and information center will be further consolidated and improved, and the trend of economic integration between the two places will be continuously strengthened.
Hong Kong's economic situation
In 2111, Hong Kong's economy got rid of the impact of the Asian financial crisis, and its GDP increased by 11.5%, the highest growth rate since 1987. The financial market is generally stable, the government's financial position is sound, the import and export trade is growing strongly, the shipping industry is performing well, the tourism industry is booming, the unemployment rate is falling, and deflation is narrowing obviously, which shows that the overall economy of Hong Kong has returned to normal. Looking forward to 2111, Hong Kong's economy will continue to grow. As the total economic output is close to the highest level in history and there are uncertain factors in the external environment, the economic growth rate will slow down.
* Hong Kong's economic situation in 2111
In 2111, Hong Kong's economy inherited the recovery momentum of the previous year and achieved rapid growth. The overall economy basically got rid of the impact of the Asian financial crisis and economic activities have returned to normal.
* Strong GDP growth
In 2111, Hong Kong's GDP was HK$ 1,271.7 billion at current prices and HK$ 893.7 billion at fixed prices in 1991. Compared with 1997 before the Asian financial crisis, it decreased by HK$ 52.2 billion and increased by HK$ 64.7 billion respectively.
Hong Kong's economy grew by 14.1% in the first quarter, by 11.8% in the second and third quarters, and by 6.8% in the fourth quarter. The economy grew by 11.5% in real terms in the whole year, the largest growth rate since 1987. From the various components that form the GDP, consumption, investment and foreign trade have all increased by a large margin.
the recovery of consumer demand has intensified. In 2111, government consumption increased by 2.1% and private consumption by 5.4%. Private consumption increased more, mainly due to the obvious improvement of economy, the decrease of unemployment rate and the enhancement of consumer confidence. At the same time, the prosperity of tourism has also stimulated the rise of consumer demand.
investment stopped falling and rebounded. In 2111, the total amount of local fixed capital formation was HK$ 327.8 billion, an increase of 8.8%, and it stopped falling and rebounded on the basis of a decrease of 17.4% in 1999. Private investment increased by 12.7%. Private investment rebounded, mainly due to the increase in corporate profits and good business prospects, and the increase in the purchase of machinery and equipment.
foreign trade grew strongly. In 2111, Hong Kong's foreign trade grew strongly driven by the increase in external demand. In terms of visible trade, the total import and export volume for the whole year was HK$ 3,231.7 billion, up by 17.8%. Total exports reached HK$ 1,572.7 billion, up by 16.6%; Imports amounted to HK$ 1,658 billion, up by 1.9%. ? According to statistics, Hong Kong's goods exports to its major trading partners, such as the United States, Britain, Japan, Germany and Singapore, increased by 14%, 15%, 23%, 17% and 19% respectively. The mainland is Hong Kong's largest trading partner, reaching HK$ 1.258 billion, up by 18.9%.
in terms of intangible trade, service imports amounted to HK$ 185.5 billion, service exports reached HK$ 334 billion, with a surplus of HK$ 148.5 billion. After offsetting the visible trade deficit, the comprehensive surplus was HK$ 63.2 billion.
* The government's finances are stable
The fiscal year of Hong Kong is from April 1 of that year to March 31 of the following year. In 2119/2111, the fiscal revenue was HK$ 232.9 billion, the expenditure was HK$ 223 billion, the deficit was HK$ 9.9 billion, and the fiscal reserve was HK$ 444.3 billion.
in 2111/2111, the budget revenue was HK$ 244.2 billion, the budget expenditure was HK$ 251.4 billion, and the budget deficit was HK$ 6.2 billion. Due to the decrease of the Exchange Fund and land sales revenue, and the lower-than-expected amount of funds raised by the MTR listing, it is estimated that the fiscal deficit will expand to HK$ 11.4 billion.
in order to stimulate the economy and consolidate the achievements of economic recovery, the sar government has adopted a series of fiscal policies. For example, allocate special funds to support a number of training and retraining programs to enhance people's employability; Reduce the stamp duty on stock transactions by 11% to maintain the attractiveness of the financial market and improve Hong Kong's competitiveness in the international financial market; Extend the tax reduction period of diesel oil tax and reduce the tax burden; Extend the first registration tax exemption period for electric vehicles for another three years. The proactive fiscal policy has created a good environment for Hong Kong's overall economic recovery. Although there is a small fiscal deficit, the government's financial situation is generally stable.
* The financial market was basically stable
In 2111, the financial market in Hong Kong was basically stable, mainly in the following aspects:
* The linked exchange rate mechanism was operating normally. The spot exchange rate of the Hong Kong dollar against the US dollar rose slightly from 7.778 in October to 7.798 in February. Throughout the year, the exchange rate of the Hong Kong dollar closely followed the trend of the US dollar and strengthened against all major currencies. Driven by the US interest rate hike, the Association of Banks raised interest rates by 1.75 percentage points three times. In order to reduce the risk of currency settlement, the US dollar settlement system was launched, and international finance centre's position was further consolidated.
* The banking industry is operating steadily. By the end of 2111, the total assets of the banking industry were HK$ 6,659.2 billion, a slight decrease of 1.9%. Bank deposits were HK$ 3,482.3 billion, an increase of 9.6%; However, bank loans amounted to HK$ 2,462.6 billion, down by 12.5%, which has been falling for 26 consecutive months. The decline in bank loans is mainly due to the inactive real estate market, unclear new economic growth points and cautious bank loans during the economic transformation period. The asset quality of banks has improved, and the proportion of bad debts tends to decline, from 9.3% in the first quarter to 7.3% in the fourth quarter. The profitability of major banks is generally good, with an increase of around 21%.
* The stock market is basically operating normally. In 2111, although the Hong Kong stock market experienced great ups and downs, its operation was basically normal. Under the cross influence of Hong Kong's economic improvement, external economic growth, China's expected entry into the WTO, the decline of the US stock market, high local interest rates and fluctuations in international oil prices, the Hang Seng Index showed a wave trend, fluctuating between 13,711 and 18,411. On March 28th, it rose to an all-time high of 18312. Later, due to the impact of the US interest rate hike and the downward adjustment of US stocks, the Hang Seng Index repeatedly fell, and on May 26, it fell to the lowest point of 13723. Although there was a rebound in the summer, the Hang Seng Index fell again under the influence of factors such as soaring international crude oil prices and another plunge in US stocks, and closed at 15196 points at the end of the year, down by 11%. However, the total market value of the stock market reached HK$ 4,862.5 billion, an increase of 2.7%; The total turnover for the whole year was HK$ 3,131.9 billion, an increase of 63.2%; The average daily turnover was HK$ 12.7 billion, up by 65.4%.
* The fund-raising function of the stock market has been further enhanced. In 2111, listed companies raised a total of HK$ 448.3 billion in the Hong Kong stock market, including HK$ 291.9 billion raised by Chinese-funded enterprises in Hong Kong and HK$ 51.8 billion raised by mainland state-owned enterprises.
* The bond market is developing healthily. After the Asian financial crisis, the bond market in Hong Kong showed a developing trend. In 2111, the bond issuance reached 455.6 billion Hong Kong dollars, an increase of 39 billion Hong Kong dollars or 9% over the previous year.
* Deflation pressure eased
Since February 1998, the Composite Consumer Price Index has been falling for 25 months. However, in 2111, the decline narrowed month by month, with a decrease of 5.3% in October and 1.8% in February. The annual decline was 3.7%. Although the deflation situation is difficult to change, the decline has been smaller than that of the previous year.
* The unemployment rate has gradually decreased
In 2111, although the unemployment rate in Hong Kong was relatively high, it eased. In October, the unemployment rate dropped from a high of 6.2% in the previous year to 5.7%, and then decreased month by month, reaching 4.5% in February. The number of unemployed people decreased from 21.9 at the beginning of the year to 15.1, and the number of employed people in all major service industries increased significantly. Unemployed people in Hong Kong are concentrated in the construction and manufacturing industries. The main reason is that the economic structure has changed from the traditional manufacturing industry to the information technology industry, and the working population in the traditional industries has been eliminated.
* Major industries developed healthily
In 2111, major industries in Hong Kong performed well and developed healthily.
* The real estate industry in Hong Kong continued to adjust in 2111. In the first seven months, the price of building transactions was stable, but the number and amount of completed contracts continued to decline; After August, the market conditions improved, the buying and selling prices of buildings rebounded slightly, and the number and amount of contracts were increased. The number and amount of building sales contracts in the whole year were 85,744 and HK$ 222.5 billion respectively, down by 12.9% and 13.3%.
* Tourism In 2111, Hong Kong's tourism industry achieved another success. The number of visitors to Hong Kong reached a record high, reaching 1.316 million, an increase of 1.5%, which was higher than the world average of 1.8%. After three years of continuous decline, tourism revenue increased, reaching HK$ 61.5 billion, up 1.6%, 9 percentage points higher than the world average. Root? According to the statistics of the World Tourism Organization, Hong Kong ranks 14th in the world in terms of the number of tourists, second only to the mainland in Asia.
* Retail Industry In 2111, the retail industry in Hong Kong turned for the better, with the volume rising. ? According to statistics, the total retail sales value reached HK$ 186.7 billion, up by 3.8%, while the sales volume increased by 8.1%. Driven by economic recovery and tourism growth, the retail volume of almost all major retail categories has increased, followed by automobiles and automobile parts, other durable consumer goods, furniture and fixtures, footwear and related products and clothing.
* Driven by the rapid growth of Hong Kong's import and export trade, Hong Kong's shipping industry has performed well and its position as an international shipping center has been further consolidated. The total number of ships registered in Hong Kong has reached a record high of 1,171 species, which shows that investors are full of confidence in Hong Kong. Container throughput continued to rank first in the world, reaching nearly 1,811 TEUs, up by 11.7%. Air passenger and cargo volume have all set new records, among which, the cargo volume is 224 tons, ranking first in the world, with an increase of 13.5%; Passenger traffic was 2,311 passengers, an increase of 8%.
* Construction Industry In 2111, the gross nominal value of projects completed by major contractors in Hong Kong was HK$ 121.8 billion, down by 3.6%. Mainly some large-scale residential building development projects have been completed, and the progress of new projects is still slow. Among them, the completion of public construction sites is relatively stable, while the completion of private construction sites has dropped significantly. Jianzhu market has not yet