Hong Kong’s 2017 growth forecast could be lifted by half a percentage point, finance chief says
Paul Chan Mo-po says economy improving at faster rate than expected, also says government considering allocating more land for subsidised housing
Hong Kong’s economy is growing faster than expected and the government could raise its forecast for the year by half a percentage point from the original 2 to 3 per cent, the city’s finance chief said on Saturday.
Financial Secretary Paul Chan Mo-po also said he was considering reallocating some sites originally earmarked for new private-sector homes for subsidised housing instead, as the amount of land supplied for private construction projects this year would be enough to exceed the government’s target of building 18,000 flats.
Speaking on a radio programme, Chan said the growth figure for gross domestic product in the second quarter of the year would not be as high as the 4.3 per cent seen in the first quarter, as the base figure on which comparisons were made had been unusually low in the first quarter of 2016. But he said overall growth in the first half was expected to beat forecasts.
“There is a high chance I will revise the GDP growth forecast this year by half a percentage point in August,” Chan said.
“We can see the recovery in the tourism sector, and the retail sector is also steadying.”
