Hong Kong is expected to maintain steady economic growth in 2026 amid headwinds and trade tensions, according to a survey from CPA Australia.

Conducted between October 22 and November 21, the survey sampled 296 accounting and finance professionals in Hong Kong.

Sixty-three percent of the respondents said they expect steady GDP growth in the coming year, while 42 percent rated Hong Kong’s international competitiveness as high.

As Hong Kong’s initial public offering market saw a rebound this year, 66 percent of respondents said they expect IPO activity to rise further in 2026.

"That reflects the confidence of investors as well as businesses to continue to run businesses, operate businesses in Hong Kong and also to invest in Hong Kong," said Karina Wong, CPA Australia's Greater China Divisional President for 2025.

She added that the capital market remains a cornerstone of local economic resilience.

With the property market subdued, more than three-fifths of the respondents said they expect retail, industrial and office prices to decline, while they believe the residential outlook is mixed.

About 30 percent said they consider increasing competition, followed by weak customer demand and increasing operational costs will be the largest challenges for their companies in 2026.

While 46 percent of respondents said they plan to expand their business on the mainland, 32 percent expect to expand within Hong Kong.

CPA offered some recommendations to the government, including leveraging opportunities arising from China’s “Going Out” strategy, strengthening collaborations with the mainland and overseas markets, and attracting more family offices from around the world to Hong Kong to increase the capital market's liquidity.

"I think the China strategy to promote business to go out will help Hong Kong to play a key role in the market," Wong said.

She said Hong Kong being a "super connector" allows mainland businesses to go outbound.