The initial prediction for Hong Kong’s GDP rate
increase in 2017 was lower than the one predicted in the latest forecast. A 2.4% increase is expected, compared to only 1.8% as initially predicted. This positive evolution is due, in part, to Mainland China’s recovery. Investors who are interested in Hong Kong company formation
can use the predictions released until this point for several industries, including tourism and services.
Main growth drivers in 2017
A report issued by Hang Seng Bank highlights the most developed business sectors are those that are likely to play a major role in increasing the GDP. The gross domestic product growth was 3.1% on a year-on-year basis, recorded for the fourth quarter of 2016. This was an important step for predicting the must more optimistic growth for 2017.
Consumption was a very important factor for growth in Hong Kong, recording an increase of 3.2% in the fourth quarter of 2016 compared to previously recorded periods.
During the recorded period, net trade in Hong Kong
reduced its volume by 1 percent while other sectors like services exports or tourism recorded a much-needed growth after several quarters of stagnation.
The services sector is among the most developed in Hong Kong but those who open a Hong Kong company
also turn their attention to other areas such as tourism or the entertainment sector.
Predictions for 2017 in Hong Kong
The 2016 data was a decisive factor for updating the GDP growth predictions for 2017. Before these figures were released experts believed that the GDP growth will be around 1.8%. New forecasts put the GDP growth to around 2 or even 3 percent for 2017.
The report issued by Hang Sang Bank also included a series of predictions: experts believe that Hong Kong’s economy will further benefit from the economic growth in Mainland Chin
a and the recovery registered in other advanced economies.
Investors who want to know more about company formation in Hong Kong
and the requirements to open a company here can contact