Financial Secretary Paul Chan said on Sunday that Hong Kong’s economy is inevitably losing momentum due to a number of external factors.

Writing in his blog, Chan said the SAR has to stablise the economy and adjust market expectations in light of the high external inflation rate, a weak global economy and interest rate hikes in the US.

He said the market is also worried about the city’s economic outlook given the resurgence of Covid cases locally.

Chan urged the public to comply with anti-infection measures and encourage their friends and families to get jabbed as soon as possible, so that social and economic activities can remain normal, businesses can continue to operate and people’s employment and income can be protected.

“Precise and effective anti-epidemic measures are put in place in the hope of reining in infections while minimizing the impact on society and the economy,” he said.

Chan also noted that the US may raise interest rates again as soon as next month, which could lead to more selling of the Hong Kong dollar.

But he said this would not affect the city’s financial stability, because such transactions are expected within the currency peg.