Chen Maobo: Hong Kong's economy expected to grow 2.5 to 3.5 percent in 2026

　　Xinhua News Agency, Hong Kong, February 25 – Hong Kong SAR Government Financial Secretary Paul Chan Mo-po stated on February 25, while presenting the 2026/2027 fiscal year SAR Government budget, that Hong Kong's economic growth is expected to be 2.5% to 3.5% in 2026.

　　Paul Chan Mo-po said that in 2026, the mainland economy will be a key driver for regional and even global economic growth. This year, the country will implement more proactive and effective macroeconomic policies, continue to expand domestic demand, solidly promote high-quality development, maintain reasonable economic growth, lay a good foundation for the "15th Five-Year Plan" period, and create favorable conditions for Hong Kong's economic growth. The stable development of the country is a solid backing for Hong Kong.

　　Paul Chan Mo-po stated that investments in new technologies such as AI continue to drive demand for related products, supporting further expansion of trade activities in Asia. Hong Kong's goods exports are expected to maintain considerable growth, and domestic demand is expected to grow steadily. A stable labor market and rising incomes for citizens will boost private consumption. Improved business sentiment and expectations of interest rate cuts will benefit asset markets and investment activities.

　　Paul Chan Mo-po said that considering various factors, Hong Kong's economic growth this year is expected to be 2.5% to 3.5%, with the underlying inflation rate and overall inflation rate at 1.7% and 1.8%, respectively. In the medium term, he predicts that Hong Kong's economy will achieve an average annual real growth of 3% between 2027 and 2030, with the underlying inflation rate expected to average 2% annually.

　　Data released in the 2026/2027 fiscal year SAR Government budget shows that last year, Hong Kong's economy was thriving, external trade was strong, private consumption rebounded, fixed investment growth accelerated, and the overall annual economic growth rate was 3.5%, marking three consecutive years of increase.