The city’s top accountancy body said on Thursday that it expects the government to record a budget deficit of HK$113.9 billion for the current financial year, and called on the government to consider alternative ways – rather than the consumption voucher scheme – to stimulate the economy.

The Hong Kong Institute of Certified Public Accountants said it expects the SAR to continue facing headwinds in 2023 due to the global economic outlook, citing the World Bank’s forecast of only a 1.7% growth worldwide.

It urged the administration to consider various tax relief measures and subsidies for healthcare and electricity bills.

However, Sara Chan, the chairwoman of the institute’s taxation faculty executive committee, said dishing out another round of consumption vouchers shouldn't be made a priority, as the scheme did not appear to trigger a "substantial amount of economic growth" when it was rolled out previously.

"Rather, we would suggest the government to implement other measures to bring Hong Kong back on the stage and also to reestablish the international image as well as the connection with other parts of the world," she said.

Eugene Yeung, deputy chairman of the committee, said the focus should be on boosting the city's competitiveness by supporting local businesses, and providing incentives for foreign investors.

He said authorities should also review the city's tax system to cope with international tax policy changes.

"International bodies like OECD or European Union, they are expecting Hong Kong to implement measures mainly to discourage or combat tax avoidance," Yeung said.

Financial Secretary Paul Chan is due to deliver his 2023-24 budget next month.