Hong Kong GDP Grows at Fastest Pace Since 2023

Hong Kong’s economy expanded by 3.8% year-on-year in the fourth quarter of 2025, following a downwardly revised 3.7% growth in the third quarter, preliminary data showed. This was the strongest growth since the fourth quarter of 2023, supported by robust regional trade, sustained growth in inbound tourism and financial service activities. On the expenditure side, increases were seen in private consumption (2.5% vs 2.4% in Q3) and gross fixed capital formation (10.9% vs 3.4%). Government spending also rose, albeit at a slower pace (1.4% vs 2%). Meanwhile, on net trade, export growth (15.5% vs 12%) was outpaced by imports (18.4% vs 11.7%). On a seasonally adjusted quarterly basis, GDP rose by 1% in the December quarter, following an upwardly revised 0.9% increase in the previous period. For 2025 as a whole, GDP grew by 3.5%, accelerating from a 2.6% rise in 2024 and marking the third consecutive year of expansion. That surpassed the government’s forecast of a 3.2% increase.

Hong Kong’s economy grew by 3.8% year-on-year in the third quarter of 2025, matching preliminary estimates and accelerating from a 3.1% expansion in the previous quarter. This marked the strongest growth since the fourth quarter of 2023, driven by robust export performance and steady domestic demand. Goods exports rose 12.1%, supported by strong demand for electronics and easing US-China trade tensions, while service exports rose 6.1%, boosted by rising inbound tourism and strong activity in financial markets. Meanwhile, imports increased at a slower pace, 11.7% for goods and 2.6% for services. On the domestic front, private consumption grew 2.1% (vs 1.9%), government spending rose 1.9% (vs 2.5%), while overall investment climbed 4.3% (vs 1.9%), reflecting a gradual recovery in consumer confidence and steady improvement in business sentiment. On a seasonally adjusted quarterly basis, the GDP advanced by 0.7%, following a 0.4% growth in the preceding period.

Hong Kong’s economy grew 3.8% year-on-year in the third quarter of 2025, up from 3.1% in the previous quarter, according to advance estimates. This marks the strongest growth since late 2023, driven by a surge in exports and robust domestic demand. Goods exports rose 12.2%, supported by strong demand for electronics and regional trade flows, while service exports rose 6.1%, boosted by tourism recovery and cross-border financial activity amid rising global stock markets. Imports also increased, though at a slower pace, 11.7% for goods and 2.6% for services. On the domestic front, private consumption grew 2.1%, while overall investment climbed 4.3%, reflecting stronger economic confidence and a stabilizing property market. On a seasonally adjusted quarterly basis, GDP rose 0.7%.