The Census and Statistics Department (C&SD) released the latest figures on retail sales today (November 30).
 
     The value of total retail sales in October 2023, provisionally estimated at $33.8 billion, increased by 5.6% compared with the same month in 2022. The revised estimate of the value of total retail sales in September 2023 increased by 13.0% compared with a year earlier. For the first 10 months of 2023 taken together, it was provisionally estimated that the value of total retail sales increased by 17.2% compared with the same period in 2022.
 
     Of the total retail sales value in October 2023, online sales accounted for 11.0%. The value of online retail sales in that month, provisionally estimated at $3.7 billion, increased by 8.4% compared with the same month in 2022. The revised estimate of online retail sales in September 2023 increased by 22.1% compared with a year earlier. For the first 10 months of 2023 taken together, it was provisionally estimated that the value of online retail sales decreased by 0.9% compared with the same period in 2022.
 
     After netting out the effect of price changes over the same period, the provisional estimate of the volume of total retail sales in October 2023 increased by 2.7% compared with a year earlier. The revised estimate of the volume of total retail sales in September 2023 increased by 10.0% compared with a year earlier. For the first 10 months of 2023 taken together, the provisional estimate of the total retail sales increased by 15.0% in volume compared with the same period in 2022.
 
     Analysed by broad type of retail outlet in descending order of the provisional estimate of the value of sales and comparing October 2023 with October 2022, the value of sales of jewellery, watches and clocks, and valuable gifts increased by 27.4%. This was followed by sales of other consumer goods not elsewhere classified (+24.8% in value); food, alcoholic drinks and tobacco (+1.3%); wearing apparel (+29.9%); commodities in department stores (+1.0%); medicines and cosmetics (+23.5%); books, newspapers, stationery and gifts (+1.8%); and footwear, allied products and other clothing accessories (+2.5%).
 
     On the other hand, the value of sales of electrical goods and other consumer durable goods not elsewhere classified decreased by 12.5% in October 2023 over a year earlier. This was followed by sales of commodities in supermarkets (-5.8% in value); motor vehicles and parts (-4.8%); fuels (-17.3%); furniture and fixtures (-24.8%); Chinese drugs and herbs (-2.0%); and optical shops (-0.1%).
 
     Based on the seasonally adjusted series, the provisional estimate of the value of total retail sales decreased by 3.0% in the three months ending October 2023 compared with the preceding three-month period, while the provisional estimate of the volume of total retail sales decreased by 3.4%.
 
Commentary
 
     A government spokesman said that the value of total retail sales increased further in October over a year earlier alongside the continued revival of inbound tourism.
 
     Looking ahead, the spokesman added that an expected further recovery of visitor arrivals should benefit the retail sector. Continued improvement in household income and various activities that bolster the economy including the "Night Vibes Hong Kong" should also provide support. Yet, factors such as tight financial conditions and economic uncertainties would weigh on consumption sentiment. The Government will continue to monitor the situation.
 
Further information
 
     Table 1 presents the revised figures on value index and value of retail sales for all retail outlets and by broad type of retail outlet for September 2023 as well as the provisional figures for October 2023. The provisional figures on the value of retail sales for all retail outlets and by broad type of retail outlet as well as the corresponding year-on-year changes for the first 10 months of 2023 taken together are also shown.
 
     Table 2 presents the revised figures on value of online retail sales for September 2023 as well as the provisional figures for October 2023. The provisional figures on year-on-year changes for the first 10 months of 2023 taken together are also shown.
 
     Table 3 presents the revised figures on volume index of retail sales for all retail outlets and by broad type of retail outlet for September 2023 as well as the provisional figures for October 2023. The provisional figures on year-on-year changes for the first 10 months of 2023 taken together are also shown.
 
     Table 4 shows the movements of the value and volume of total retail sales in terms of the year-on-year rate of change for a month compared with the same month in the preceding year based on the original series, and in terms of the rate of change for a three-month period compared with the preceding three-month period based on the seasonally adjusted series.
 
     The classification of retail establishments follows the Hong Kong Standard Industrial Classification (HSIC) Version 2.0, which is used in various economic surveys for classifying economic units into different industry classes.
 
     These retail sales statistics measure the sales receipts in respect of goods sold by local retail establishments and are primarily intended for gauging the short-term business performance of the local retail sector. Data on retail sales are collected from local retail establishments through the Monthly Survey of Retail Sales (MRS). Local retail establishments with and without physical shops are covered in MRS and their sales, both through conventional shops and online channels, are included in the retail sales statistics.
 
     The retail sales statistics cover consumer spending on goods but not on services (such as those on housing, catering, medical care and health services, transport and communication, financial services, education and entertainment) which account for over 50% of the overall consumer spending. Moreover, they include spending on goods in Hong Kong by visitors but exclude spending outside Hong Kong by Hong Kong residents. Hence they should not be regarded as indicators for measuring overall consumer spending.
 
     Users interested in the trend of overall consumer spending should refer to the data series of private consumption expenditure (PCE), which is a major component of the Gross Domestic Product published at quarterly intervals. Compiled from a wide range of data sources, PCE covers consumer spending on both goods (including goods purchased from all channels) and services by Hong Kong residents whether locally or abroad. Please refer to the C&SD publication "Gross Domestic Product (Quarterly)" for more details.
 
     More detailed statistics are given in the "Report on Monthly Survey of Retail Sales". Users can browse and download this publication at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080003&scode=530).
 
     Users who have enquiries about the survey results may contact the Distribution Services Statistics Section of C&SD (Tel: 3903 7400; email : mrs@censtatd.gov.hk).

     According to the results of the 2022 Annual Survey of Economic Activities – Import/Export, Wholesale and Retail Trades, and Accommodation and Food Services Sectors released today (November 30) by the Census and Statistics Department (C&SD), total receipts (i.e. sales and other receipts) of the import/export, wholesale and retail trades, and accommodation and food services sectors amounted to $5,245.5 billion in 2022, representing a decrease of 5.2% compared with 2021; on a per establishment basis, total receipts decreased by 8.0% compared with 2021 to $34.9 million in 2022.
 
     Operating expenses, cost of goods sold and compensation of employees of the above sectors altogether amounted to $4,803.9 billion in 2022, representing a decrease of 6.3% compared with 2021; on a per establishment basis, they altogether decreased by 9.1% compared with 2021 to $31.9 million in 2022.
 
     Gross surplus of the sectors, which is equal to total receipts less operating expenses, cost of goods sold and compensation of employees, increased by 9.3% over 2021 to $441.6 billion in 2022; on a per establishment basis, gross surplus was $2.9 million in 2022, which increased by 6.1% over 2021.  For all these sectors taken together, gross surplus accounted for 8.4% of total receipts in 2022, up by 1.1 percentage points compared with 2021.
 
     Industry value added of the sectors, which is a measure of their total contribution to Hong Kong's Gross Domestic Product, decreased by 4.0% compared with 2021 to $590.9 billion in 2022; on a per establishment basis, industry value added was $3.9 million in 2022, representing a decrease of 6.8% compared with 2021.
 
     According to the survey results, it was estimated that the aforementioned sectors comprised some 150 400 establishments and engaged about 931 400 persons, or an average of 6.2 persons per establishment, in 2022.
 
     In the import/export trade, total receipts amounted to $4,352.8 billion while operating expenses, cost of goods sold and compensation of employees totalled $3,952.0 billion in 2022. Gross surplus increased from $371.3 billion in 2021 to $400.8 billion in 2022, accounting for 9.2% of total receipts in 2022. Industry value added decreased by 4.4% compared with 2021 to $468.4 billion.
 
     In the wholesale trade, total receipts amounted to $292.4 billion while operating expenses, cost of goods sold and compensation of employees totalled $285.8 billion in 2022. Gross surplus decreased from $8.6 billion in 2021 to $6.6 billion in 2022, accounting for 2.3% of total receipts in 2022. Industry value added decreased by 7.4% compared with 2021 to $20.2 billion.
 
     In the retail trade, total receipts amounted to $452.6 billion while operating expenses, cost of goods sold and compensation of employees totalled $425.6 billion in 2022. Gross surplus increased from $19.9 billion in 2021 to $27.0 billion in 2022, accounting for 6.0% of total receipts in 2022. Industry value added was $54.5 billion in 2022, similar to that in 2021.
 
     In the accommodation services sector which covers hotels, guesthouses, boarding houses and other establishments providing short term accommodation, total receipts amounted to $30.2 billion while operating expenses, cost of goods sold and compensation of employees totalled $27.0 billion in 2022. Gross surplus increased from $0.2 billion in 2021 to $3.2 billion in 2022, accounting for 10.7% of total receipts in 2022. Industry value added increased by 13.7% over 2021 to $12.5 billion.
 
     In the food services sector which mainly covers restaurants, total receipts amounted to $117.4 billion while operating expenses, cost of goods sold and compensation of employees totalled $113.5 billion in 2022. Gross surplus increased from $3.8 billion in 2021 to $3.9 billion in 2022, accounting for 3.3% of total receipts in 2022. Industry value added decreased by 6.8% compared with 2021 to $35.3 billion.
 
     Selected statistics for the import/export, wholesale and retail trades, and accommodation and food services sectors in 2021 and 2022 are shown in the attached table.
 
     More detailed survey results on the import/export, wholesale and retail trades, and accommodation and food services sectors will be given in the reports "Key Statistics on Business Performance and Operating Characteristics of the Import/Export, Wholesale and Retail Trades Sectors in 2022" and "Key Statistics on Business Performance and Operating Characteristics of the Accommodation and Food Services Sectors in 2022". Users can browse and download these reports at the website of the C&SD as from end-December 2023.
www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080014&scode=550
www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080016&scode=540
 
     For enquiries about the key statistics on business performance and operating characteristics of the import/export, wholesale and retail trades, and accommodation and food services sectors, please contact the Distribution Services Statistics Section of the C&SD (Tel.: 3903 7399; Email: asw@censtatd.gov.hk).

     According to the results of the 2022 Annual Survey of Economic Activities – Information and Communications, Financing and Insurance, Professional and Business Services Sectors released today (November 30) by the Census and Statistics Department (C&SD), the financing (except banking) industry recorded the largest total receipts (comprising business receipts and other income) in 2022, followed by insurance; banking; information and communications; professional, scientific and technical activities; and administrative and support service activities.

     In the financing (except banking) industry, total receipts increased by 2.1% over 2021 to $684.0 billion in 2022. On a per establishment basis, total receipts increased by 0.9% compared with 2021 to $72.4 million in 2022. Total operating expenses and compensation of employees together decreased by 3.5% year-on-year to $312.9 billion in 2022. Gross surplus, which is equal to total receipts less operating expenses, compensation of employees and (where applicable) value of purchases of goods for sale, increased by 7.3% over 2021 to $371.0 billion in 2022, accounting for 54.2% of total receipts in 2022. Industry value added (except investment and holding companies), which is a measure of its contribution to Hong Kong’s Gross Domestic Product (GDP), decreased by 19.0% compared with 2021 to $108.0 billion in 2022. In 2022, the financing (except banking) industry comprised about 9 400 establishments and engaged about 98 700 persons, or an average of 10.4 persons per establishment.

     In the insurance industry, total receipts amounted to $649.5 billion in 2022, representing an increase of 0.4% compared with 2021.  On a per establishment basis, total receipts increased by 0.7% compared with 2021 to $234.5 million in 2022. Total operating expenses and compensation of employees together decreased by 2.3% year-on-year to $64.1 billion in 2022. In 2022, the insurance industry comprised about 2 800 establishments and engaged about 88 200 persons, or an average of 31.8 persons per establishment.

     In the banking industry, total receipts amounted to $483.2 billion in 2022, representing an increase of 12.3% compared with 2021. On a per establishment basis, total receipts increased by 15.9% compared with 2021 to $2.2 billion in 2022. Total operating expenses and compensation of employees together increased by 0.7% year-on-year to $240.1 billion in 2022. In 2022, the banking industry comprised 218 establishments and engaged about 99 800 persons, or an average of 457.8 persons per establishment.

     Owing to the special features of business operations for the banking industry and the insurance industry, gross surplus and industry value added statistics are not compiled for these industries. Statistics on value added in respect of these two industries compiled under the framework of GDP are released by the C&SD separately. Similarly, within the financing (except banking) industry, industry value added is not compiled for investment and holding companies. Hence, the figure of industry value added for this industry does not cover investment and holding companies.

     In the information and communications sector, total receipts amounted to $240.0 billion in 2022, representing an increase of 3.0% compared with 2021. On a per establishment basis, total receipts increased by 2.5% over 2021 to $21.2 million in 2022. Total operating expenses and compensation of employees together increased by 2.9% year-on-year to $164.9 billion in 2022.  Gross surplus increased by 9.7% over 2021 to $60.0 billion in 2022, accounting for 25.0% of total receipts in 2022. Industry value added increased by 4.3% compared with 2021 to $99.8 billion in 2022. In 2022, the information and communications sector comprised about 11 300 establishments and engaged about 103 000 persons, or an average of 9.1 persons per establishment.

     In the professional, scientific and technical activities sector, total receipts amounted to $161.1 billion in 2022, representing an increase of 0.2% compared with 2021. On a per establishment basis, total receipts increased by 0.9% over 2021 to $5.8 million in 2022. Total operating expenses and compensation of employees together decreased by 0.9% year-on-year to $127.2 billion in 2022. Gross surplus increased by 6.6% over 2021 to $32.6 billion in 2022, accounting for 20.2% of total receipts in 2022. Industry value added increased by 0.4% compared with 2021 to $87.7 billion in 2022. In 2022, the professional, scientific and technical activities sector comprised about 27 700 establishments and engaged about 150 800 persons, or an average of 5.4 persons per establishment.

     In the administrative and support service activities sector, total receipts amounted to $95.8 billion in 2022, representing an increase of 10.6% compared with 2021. On a per establishment basis, total receipts increased by 15.8% over 2021 to $8.4 million in 2022. Total operating expenses and compensation of employees together increased by 9.3% year-on-year to $88.6 billion in 2022. Gross surplus increased from $5.0 billion in 2021 to $6.6 billion in 2022, accounting for 6.9% of total receipts in 2022. Industry value added increased by 7.0% compared with 2021 to $53.7 billion in 2022. In 2022, the administrative and support service activities sector comprised about 11 400 establishments and engaged about 226 500 persons, or an average of 19.9 persons per establishment.

     Selected statistics for the sectors mentioned above are shown in the attached table. More detailed statistics will be given in the reports "Key Statistics on Business Performance and Operating Characteristics of the Information and Communications Sector in 2022" and "Key Statistics on Business Performance and Operating Characteristics of the Financing and Insurance, Professional and Business Services Sectors in 2022". Users can browse and download these reports at the website of the C&SD (https://www.censtatd.gov.hk/en/scode560.html and https://www.censtatd.gov.hk/en/scode570.html) as from end-December 2023.

     For enquiries about the key statistics on business performance and operating characteristics of the information and communications, financing and insurance, professional and business services sectors, please contact the Business Services Statistics Section of the C&SD (Tel: 3903 7268 or email: business-services@censtatd.gov.hk).

     The Government announced today (November 30) its financial results for the seven months ended October 31, 2023.
 
     Expenditure for the period April to October 2023 amounted to HK$413.9 billion and revenue HK$174.4 billion, resulting in a cumulative year-to-date deficit of HK$172.9 billion after taking into account the proceeds of HK$66.6 billion received from issuance of green bonds under the Government Green Bond Programme.
 
     A Government spokesperson said that the cumulative year-to-date deficit for the period was mainly due to the fact that some major types of revenue including salaries and profits taxes are mostly received towards the end of a financial year.
 
     The fiscal reserves stood at HK$661.9 billion as at October 31, 2023.
 
     Detailed figures are shown in Tables 1 and 2.
 
TABLE 1. CONSOLIDATED ACCOUNT (Note 1)
 

 
Government Debts as at October 31, 2023 (Note 3)
    HK$186,421 million
Debts Guaranteed by Government as at October 31, 2023 (Note 4)
    HK$147,332 million

TABLE 2. FISCAL RESERVES
 

 
Notes:

1. This Account consolidates the General Revenue Account and the following eight Funds: Capital Works Reserve Fund, Capital Investment Fund, Civil Service Pension Reserve Fund, Disaster Relief Fund, Innovation and Technology Fund, Land Fund, Loan Fund and Lotteries Fund. It excludes the Bond Fund, the balance of which is not part of the fiscal reserves. The Bond Fund balance as at October 31, 2023, was HK$310,373 million.

2. Includes transactions with the Exchange Fund and resident banks.

3. These were the Green Bonds (equivalent to HK$186,421 million as at October 31, 2023) issued under the Government Green Bond Programme. They were denominated in US dollars (US$9,750 million with maturity from May 2024 to January 2053), euros (4,500 million euros with maturity from January 2025 to November 2041), Renminbi (RMB30,000 million with maturity from November 2024 to June 2033) and Hong Kong dollars (HK$40,800 million with maturity from February 2024 to October 2026). They do not include the outstanding bonds with nominal value of HK$269,302 million and alternative bonds with nominal value of US$1,000 million (equivalent to HK$7,820 million as at October 31, 2023) issued under the Government Bond Programme (with proceeds credited to the Bond Fund). Of these bonds under the Government Bond Programme (including Silver Bonds with nominal value of HK$139,302 million, which may be redeemed before maturity upon request from bond holders), bonds with nominal value of HK$15,000 million and HK$1,500 million were repaid upon maturity on November 16, 2023, and November 17, 2023, respectively; bonds with nominal value of HK$82,889 million will mature within the period from December 2023 to October 2024 and the rest within the period from November 2024 to May 2042.

4. Includes guarantees provided under the SME Loan Guarantee Scheme launched in 2001, the Special Loan Guarantee Scheme launched in 2008, the SME Financing Guarantee Scheme launched in 2012 and a commercial loan of the Hong Kong Science and Technology Parks Corporation.
 
5. Includes HK$307,545 million, being the balance of the Land Fund held in the name of "Future Fund", for long-term investments up to December 31, 2030. The Future Fund also includes HK$4,800 million, being one-third of the actual surplus in 2015-16 as top-up.

     The Environment and Ecology Bureau released today (November 30) the 2022 greenhouse gas (GHG) emission inventory for Hong Kong.
 
     Hong Kong's total GHG emissions in 2022 amounted to 33.5 million tonnes of carbon dioxide equivalent (CO2-e), representing a decrease of about 4 per cent compared with 2021. When compared with the peak of about 44.2 million tonnes in 2014, there was a reduction of about 24 per cent.
 
     The per capita GHG emissions in 2022 amounted to about 4.55 tonnes, which was about 3 per cent lower than that in 2021.
 
     Carbon intensity is the measure of GHG emitted per Hong Kong dollar of gross domestic product (GDP). The carbon intensity in 2022 was about 0.012 kilograms CO2-e per Hong Kong dollar GDP, which was about 0.2 per cent, slightly lower than that in 2021. When compared with that of the 2005 base year, carbon intensity has been reduced by about 44 per cent.
 
     Electricity generation continued to be the major source of emissions, amounting to 63 per cent of the total emissions. Other major emission sources were the transport sector (19 per cent) and waste management (8 per cent).
 
     Details of the 2022 GHG emission inventory can be found on the following website:
cnsd.gov.hk/en/climate-ready/ghg-emissions-and-trends.
 
     Hong Kong published Hong Kong's Climate Action Plan 2050 in 2021, which sets the target to reduce Hong Kong's total carbon emissions from the 2005 level by half before 2035 and to achieve carbon neutrality before 2050, through the four major decarbonisation strategies and measures, namely net-zero electricity generation, energy saving and green buildings, green transport and waste reduction.