Quarterly business receipts indices for service industries for fourth quarter of 2021 and whole year of 2021

     Business receipts in value terms of most of the major service industries showed increases of different magnitudes in the fourth quarter of 2021 when compared with the fourth quarter of 2020, according to the provisional figures of business receipts indices released today (March 10) by the Census and Statistics Department (C&SD).
 
     Comparing the fourth quarter of 2021 with the fourth quarter of 2020, double-digit increases were recorded in business receipts of the transportation (+66.3%), accommodation services (+35.5%), food services (+29.1%), import/export trade (+19.8%), warehousing and storage (+18.7%), courier (+14.6%) and wholesale (+13.1%) industries. On the other hand, the real estate industry recorded a decrease of 17.4% in business receipts during the same period.
 
     Analysed by service domain, business receipts of the tourism, convention and exhibition services domain increased by 38.5% year-on-year during the same period, while those of the computer and information technology services domain also increased by 20.8% year-on-year.
 
     On a seasonally adjusted quarter-to-quarter comparison, business receipts in value terms of around half of the major service industries recorded increases of different magnitudes in the fourth quarter of 2021 when compared with the third quarter of 2021. In particular, business receipts of the transportation, and warehousing and storage industries increased by 6.6% and 4.4% respectively. On the other hand, business receipts of the banking industry decreased by 16.2% during the same period.
 
     Comparing the fourth quarter of 2021 with the third quarter of 2021 and on a seasonally adjusted basis, business receipts of the tourism, convention and exhibition services domain increased by 5.3%, while those of the computer and information technology services domain also increased by 1.5%.
 
     For 2021 as a whole, most of the major service industries recorded year-on-year increases in business receipts. Double-digit increases were recorded in business receipts of the transportation (+54.0%), accommodation services (+38.3%), warehousing and storage (+27.4%), import/export trade (+24.0%), courier (+19.0%), financing (except banking) (+17.5%), food services (+16.8%) and wholesale (+13.1%) industries. On the other hand, business receipts of the banking industry decreased by 4.3% as compared with 2020.
 
     Analysed by services domain, business receipts of the tourism, convention and exhibition services domain decreased by 17.5%, whereas those of the computer and information technology services domain increased by 20.1% during the same period.
 
Commentary
 
     A Government spokesman noted that business receipts of most major service industries continued to show year-on-year increases in the fourth quarter of 2021, thanks to the sustained recovery in the global economy, stable local epidemic situation and additional support to local consumption activities from the Consumption Voucher Scheme. 
 
     Specifically, business receipts of import/export trade, wholesale, water and air transport, warehousing and storage, and courier continued to increase visibly. Business receipts of some other industries, such as retail, land transport, accommodation services, food services, and administrative and support services, also showed year-on-year increases, yet they were still lower than the pre-recession levels. On the other hand, business receipts of banking and real estate declined. 
 
     The spokesman pointed out that the latest figures indicated the situation up to end-2021 only. Business of many service industries, in particular those more related to local consumption, has been under immense pressure of late due to the fifth wave of local epidemic and the tightened social distancing measures in response. While the latest relief measures by the Government should render some support, many service industries should continue to face a difficult business environment in the near term in the backdrop of the acute local epidemic situation. The recent sharp escalation of geopolitical tensions in Europe has also added to the headwinds. To preserve the vitality of the economy, it is essential for the community to work in unison to support the Government to put the local epidemic under control as swiftly as possible. The Government will continue to monitor the situation closely.
 
Further information
 
     Table 1 presents the business receipts indices and their corresponding year-on-year rates of change in respect of selected service industries and service domains for the recent five quarters, while Table 2 shows the corresponding quarter-to-quarter rates of change in the business receipts indices for the recent five quarters based on the seasonally adjusted series.
 
     The revised figures of business receipts indices for the fourth quarter of 2021 will be released at the website of the C&SD (www.censtatd.gov.hk/en/web_table.html?id=93) and relevant publications of the C&SD starting from April 21, 2022.
 
     Data for compiling the business receipts indices are mainly based on the Quarterly Survey of Service Industries conducted by the C&SD, supplemented by relevant data provided by the Hong Kong Monetary Authority and the Hong Kong Tourism Board.
 
     A service domain differs from a service industry in that it comprises those economic activities which straddle different industries but are somehow related to a common theme. It may include all activities carried out by all establishments in a service industry that is closely related to the domain. For a service industry that is less closely related, however, only a portion of the establishments in the industry or even only part of the economic activities of the establishments is related to the domain. Taking the tourism, convention and exhibition services domain as an example, it includes all services of convention and exhibition organisers, short-term accommodation services and services of travel agents, and some (those involving visitors as customers) of the services of restaurants, retailers and transport operators.
 
     The classification of service industries follows the Hong Kong Standard Industrial Classification Version 2.0, which is used in various economic surveys for classifying economic units into different industry classes.
 
     More detailed statistics are given in the report "Quarterly Business Receipts Indices for Service Industries, Fourth Quarter 2021". Users can download this publication at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080006&scode=520).
 
     For enquiries about the business receipts indices, please contact the Business Services Statistics Section of the C&SD (Tel: 3903 7267 or email: business-receipts@censtatd.gov.hk).