Tag Archives: China

     According to the results of the 2023 Annual Survey of Economic Activities – Import/Export, Wholesale and Retail Trades, and Accommodation and Food Services Sectors released today (November 29) 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 $5,238.9 billion in 2023, representing a decrease of 0.1% compared with 2022; on a per establishment basis, total receipts increased by 0.4% over 2022 to $35.0 million in 2023.
 
     Operating expenses, cost of goods sold and compensation of employees of the above sectors altogether amounted to $4,781.2 billion in 2023, representing a decrease of 0.5% compared with 2022; on a per establishment basis, they altogether amounted to $31.9 million in 2023, similar to that 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 3.6% over 2022 to $457.6 billion in 2023; on a per establishment basis, gross surplus was $3.1 million in 2023, which increased by 4.2% over 2022. For all these sectors taken together, gross surplus accounted for 8.7% of total receipts in 2023, up by 0.3 percentage point over 2022.
 
     Industry value added of the sectors, which is a measure of their total contribution to Hong Kong’s Gross Domestic Product, increased by 6.2% over 2022 to $627.5 billion in 2023; on a per establishment basis, industry value added was $4.2 million in 2023, which increased by 6.7% over 2022.
 
     According to the survey results, it was estimated that the aforementioned sectors comprised some 149 700 establishments and engaged about 926 800 persons, or an average of 6.2 persons per establishment, in 2023.
 
     In the import/export trade, total receipts amounted to $4,245.4 billion while operating expenses, cost of goods sold and compensation of employees totalled $3,832.3 billion in 2023. Gross surplus increased from $400.8 billion in 2022 to $413.2 billion in 2023, accounting for 9.7% of total receipts in 2023. Industry value added decreased by 0.3% compared with 2022 to $467.1 billion.
 
     In the wholesale trade, total receipts amounted to $283.0 billion while operating expenses, cost of goods sold and compensation of employees totalled $277.4 billion in 2023. Gross surplus decreased from $6.6 billion in 2022 to $5.6 billion in 2023, accounting for 2.0% of total receipts in 2023. Industry value added decreased by 3.2% compared with 2022 to $19.6 billion.
 
     In the retail trade, total receipts amounted to $523.0 billion while operating expenses, cost of goods sold and compensation of employees totalled $493.2 billion in 2023. Gross surplus increased from $27.0 billion in 2022 to $29.9 billion in 2023, accounting for 5.7% of total receipts in 2023. Industry value added increased by 37.0% over 2022 to $74.7 billion.
 
     In the accommodation services sector which covers hotels, guesthouses, boarding houses and other establishments providing short term accommodation, total receipts amounted to $45.3 billion while operating expenses, cost of goods sold and compensation of employees totalled $39.3 billion in 2023. Gross surplus increased from $3.2 billion in 2022 to $6.1 billion in 2023, accounting for 13.4% of total receipts in 2023.  Industry value added increased by 63.4% over 2022 to $20.4 billion.
 
     In the food services sector which mainly covers restaurants, total receipts amounted to $142.1 billion while operating expenses, cost of goods sold and compensation of employees totalled $139.2 billion in 2023. Gross surplus decreased from $3.9 billion in 2022 to $2.9 billion in 2023, accounting for 2.1% of total receipts in 2023. Industry value added increased by 29.6% over 2022 to $45.7 billion.
 
     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 Import/Export, Wholesale and Retail Trades Sectors in 2023” and “Key Statistics on Business Performance and Operating Characteristics of the Food and Accommodation Services Sectors in 2023”. Users can browse and download these reports at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080014&scode=550 and www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080016&scode=540) as from end-December 2024.
 
     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 or email: asw@censtatd.gov.hk). read more

     The Census and Statistics Department (C&SD) released the latest figures on retail sales today (November 29).

     The value of total retail sales in October 2024, provisionally estimated at $32.9 billion, decreased by 2.9% compared with the same month in 2023. The revised estimate of the value of total retail sales in September 2024 decreased by 6.9% compared with a year earlier. For the first 10 months of 2024 taken together, it was provisionally estimated that the value of total retail sales decreased by 7.1% compared with the same period in 2023.

     Of the total retail sales value in October 2024, online sales accounted for 12.3%. The value of online retail sales in that month, provisionally estimated at $4.0 billion, increased by 8.4% compared with the same month in 2023. The revised estimate of online retail sales in September 2024 decreased by 12.1% compared with a year earlier. For the first 10 months of 2024 taken together, it was provisionally estimated that the value of online retail sales decreased by 0.5% compared with the same period in 2023.

     After netting out the effect of price changes over the same period, the provisional estimate of the volume of total retail sales in October 2024 decreased by 4.9% compared with a year earlier. The revised estimate of the volume of total retail sales in September 2024 decreased by 8.7% compared with a year earlier. For the first 10 months of 2024 taken together, the provisional estimate of the total retail sales decreased by 8.8% in volume compared with the same period in 2023.

     Analysed by broad type of retail outlet in descending order of the provisional estimate of the value of sales and comparing October 2024 with October 2023, the value of sales of jewellery, watches and clocks, and valuable gifts decreased by 11.1%. This was followed by sales of commodities in supermarkets (-0.4% in value); wearing apparel (-9.8%); commodities in department stores (-9.2%); motor vehicles and parts (-27.5%); fuels (-9.6%); books, newspapers, stationery and gifts (-21.0%); footwear, allied products and other clothing accessories (-6.9%); Chinese drugs and herbs (-7.0%); furniture and fixtures (-18.0%); and optical shops (-10.2%).

     On the other hand, the value of sales of electrical goods and other consumer durable goods not elsewhere classified increased by 17.1% in October 2024 over a year earlier. This was followed by sales of other consumer goods not elsewhere classified (+1.0% in value); food, alcoholic drinks and tobacco (+0.3%); and medicines and cosmetics (+3.9%).

     Based on the seasonally adjusted series, the provisional estimate of the value of total retail sales increased by 0.7% in the three months ending October 2024 compared with the preceding three-month period, while the provisional estimate of the volume of total retail sales decreased by 0.4%.

Commentary

     A government spokesman said that the year-on-year decline of total retail sales value narrowed further in October. On a seasonally adjusted basis, the value of total retail sales continued to increase month-to-month.

     Looking ahead, the spokesman said that the Mainland’s recent introduction of various measures to boost the economy would help support consumption sentiment and economic activities in Hong Kong. The Central Government’s various measures benefitting Hong Kong, including the resumption of the multiple-entry Individual Visit Scheme for permanent residents of Shenzhen and its extension to non-permanent residents of Shenzhen with residence permits, together with the SAR Government’s various initiatives to boost market sentiment, as well as increasing employment earnings, would be conducive to spending by both residents and visitors in the domestic market, though the change in their consumption patterns will continue to pose a constraint.

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 2024 as well as the provisional figures for October 2024. 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 2024 taken together are also shown.

     Table 2 presents the revised figures on value of online retail sales for September 2024 as well as the provisional figures for October 2024. The provisional figures on year-on-year changes for the first 10 months of 2024 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 2024 as well as the provisional figures for October 2024. The provisional figures on year-on-year changes for the first 10 months of 2024 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 by Expenditure Component” 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). read more

     The Government announced today (November 29) its financial results for the seven months ended October 31, 2024.        Expenditure and revenue from April to October 2024 amounted to HK$418 billion and HK$1… read more

The following is issued on behalf of the Hong Kong Monetary Authority:

     The Hong Kong Monetary Authority (HKMA) released today (November 29) the analytical data on the Hong Kong Special Administrative Region’s foreign currency reserves and foreign currency liquidity as at the end of October 2024 (Annex). These data are published monthly in the Template on International Reserves and Foreign Currency Liquidity in accordance with the International Monetary Fund’s Special Data Dissemination Standard (SDDS).
 
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     At present, four press releases relating to the Exchange Fund’s data are issued by the HKMA each month. Three of these releases are issued to disseminate monetary data in accordance with the International Monetary Fund’s SDDS. The fourth press release, on the Exchange Fund’s Abridged Balance Sheet and Currency Board Account, is made in accordance with the HKMA’s policy of maintaining a high level of transparency. For the month of November 2024, the scheduled dates for issuing the press releases are as follows:
 

The following is issued on behalf of the Hong Kong Monetary Authority:

     The Hong Kong Monetary Authority (HKMA) announced today (November 29) that the total assets of the Exchange Fund amounted to HK$4,015.0 billion as at October 31, 2024, HK$118.8 billion lower than that at the end of September 2024. Hong Kong dollar assets decreased by HK$105.0 billion and foreign currency assets decreased by HK$13.8 billion.
      
     The decline in Hong Kong dollar assets was mainly due to the decrease in Exchange Fund Bills and Notes issued but not yet settled at month end. The decline in foreign currency assets was mainly due to mark-to-market revaluation of investments, which was partly offset by interest income from investments and purchase of foreign currencies with Hong Kong dollars.
      
     The Currency Board Account shows that the Monetary Base at the end of October 2024 was HK$1,937.7 billion, decreased by HK$3.7 billion, or 0.2 per cent, from the end of September 2024. The decline was mainly due to the decrease in the outstanding amount of Certificates of Indebtedness, which was partly offset by amortisation of discount on Exchange Fund Bills and Notes issued.
      
     The amount of Backing Assets decreased by HK$7.7 billion, or 0.4 per cent, to HK$2,121.7 billion at the end of October 2024. The decrease was mainly attributable to mark-to-market revaluation of investments and the redemption of Certificates of Indebtedness, which were partly offset by interest income from investments. The Backing Ratio decreased from 109.68 per cent at the end of September 2024 to 109.50 per cent at the end of October 2024.
 
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     At present, four press releases relating to the Exchange Fund’s data are issued by the HKMA each month. Three of these releases are issued to disseminate monetary data in accordance with the International Monetary Fund’s Special Data Dissemination Standard (SDDS). The fourth press release, on the Exchange Fund’s Abridged Balance Sheet and Currency Board Account, is made in accordance with the HKMA’s policy of maintaining a high level of transparency. For the month of November 2024, the scheduled dates for issuing the press releases are as follows: