The Hong Kong economy grew 4.3 percent year-on-year from April to June in Hong Kong, according to advance estimates by the Census and Statistics Department.

A government spokesman said the economy continued to expand robustly in the second quarter, underpinned by buoyant external trade and resilient domestic demand.

Exports of goods, measured in national accounts terms, rose 28.8 percent over a year earlier, beating the 23.8 percent growth pace recorded in the first quarter. Imports were up by 29.3 percent, compared with 29.9 percent in the first quarter.

Exports of services rose by 3.4 percent, up from 3.3 percent, while imports increased by 2.8 percent from a previous 3.8 percent pace.

Consumer spending was up by 2.9 percent, compared with a 4.9 percent increase in the previous quarter, while the government outlay rose 0.5 percent compared with a 2.8 percent increase in the January-to-March period.

GDP growth stood at 5.9 percent in the first quarter.

The spokesman expects the economy to post solid growth in the second half, thanks to a strong performance in exports.

“Vibrant global demand for artificial intelligence-related products should bolster merchandise exports, while exports of services should benefit from sustained growth in visitor arrivals and steady demand for financial and business services,” he said.

However, he also warned that ongoing Middle East geopolitical tensions, uncertain US monetary policy and trade protectionism in major advanced economies could pose a risk for the local economy.

The government has forecast full-year economic growth to reach 2.5-3.5 percent.

Gary Ng, senior economist at investment bank Natixis, said he expects full-year growth will meet the government target, but he also warned that growth for the rest of the year could slow down.

“A decelerating mainland economy may hurt a certain demand source in Hong Kong. And second, what is happening in Iran and the Middle East can actually continue to lift inflation and global interest rates, and that can also hurt the recovery in the home market in Hong Kong and also external demand in certain exports as well,” he said.

“All of these factors basically show that it is not likely to see Hong Kong economy growing at the same pace as Q1; it is possible to see some deceleration in the rest of the year.”
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Last updated: 2026-07-31 HKT 18:15



Edited by Edmond Fong