“Cautious”, But Optimistic Outlook for Hong Kong in 2022

Despite the pandemic attacking in waves with variants like Delta spreading around, Hong Kong’s economy has been improving.

In a poll done in September, more than 400 companies have revealed that there would be an increase of 1.7% in pay in 2022, while more than ⅓ of the companies have plans to expand their businesses by hiring more people.

Although the increase in wages may not be as great as compared to other Asian countries like Singapore and Korea, it is still faring better than many countries outside of Asia, who are more heavily disrupted by supply-chain issues.

In addition, unemployment rates between August to October have fallen by 4.3%, with sectors like F&B, and arts and entertainment making gradual recoveries.

As for the economy, retail sales have been growing for the ninth-month straight, a positive trend that would hopefully stay positive. This is partially due to the digital vouchers the government had issued in order to boost domestic spending within the economy.

Subsequently, Hong Kong’s GDP is also forecasted to grow by 6.4% for the full year, while inflation would likely remain in check in contrast to other countries outside of Asia, despite rising import costs.

Overall, even with the slow growth in improvement, things seem to be heading upwards for Hong Kong as the world moves into endemic living.