5
FRIDAY, MAY 28, 1993
THE TERMS
REAL FOLLOWING
GROSS DOMESTIC PRODUCT (GDP) GREW BY AN ESTIMATED 5.1%
IN
IN THE FOURTH QUARTER OF 1992 OVER A YEAR EARLIER, A SIMILAR INCREASE IN THE THIRD QUARTER.
THE GDP GROWTH RATE IN THE FIRST QUARTER OF 1993 WAS PROBABLY IN THE REGION OF 5-5.5%.
IN THE FIRST QUARTER, THE LABOUR MARKET REMAINED GENERALLY STABLE, WHILE CONSUMER PRICE INFLATION WAS ON A MODERATING TREND.
THESE DEVELOPMENTS ARE DESCRIBED IN THE FIRST QUARTER ECONOMIC REPORT 1993 RELEASED TODAY (FRIDAY).
THE GOVERNMENT ECONOMIST, MR TANG KWONG-YIU, SAID FOLLOWING AN ONGOING PRACTICE, THE ECONOMIC FORECASTS FOR THE YEAR HAD BEEN REVIEWED AND UPDATED IN PARALLEL WITH THE PREPARATION OF THE ECONOMIC REPORT.
ADJUSTMENTS ARE MADE TO A FEW COMPONENTS, BUT THE FORECAST GROWTH RATE IN REAL TERMS OF THE GDP FOR 1993 IS MAINTAINED AT 5.5%.
THE FORECAST INFLATION RATE FOR 1993, IN TERMS OF THE CONSUMER PRICE INDEX (A) AS WELL AS THE GDP DEFLATOR, IS ALSO KEPT UNCHANGED, BOTH AT 9.5%.
IN
THE EXTERNAL SECTOR, TOTAL EXPORTS GREW RAPIDLY, BY ABOUT 19% IN REAL TERMS IN THE FIRST QUARTER OF 1993 OVER A YEAR EARLIER. WITHIN THIS TOTAL, RE-EXPORTS WERE ABOUT 27% HIGHER IN REAL TERMS.
RE-EXPORTS TO CHINA ROSE SHARPLY, SUPPORTED BY THE SUSTAINED DEVELOPMENT IN OUTWARD PROCESSING ACTIVITIES AS WELL AS A FAST INCREASING DEMAND FOR IMPORTS FOR CHINA'S OWN CONSUMPTION.
RE-EXPORTS TO MOST OF THE OTHER MAJOR MARKETS ALSO RECORDED FURTHER MARKED INCREASES.
THE
WITH SUCH A STRONG PERFORMANCE, THE SHARE OF RE-EXPORTS IN VALUE OF TOTAL EXPORTS CONTINUED TO RISE, FROM 74% IN THE FIRST QUARTER OF 1992 TO 78% IN THE FIRST QUARTER OF 1993.
IN CONTRAST, THE PERFORMANCE OF DOMESTIC EXPORTS REMAINED EXPORT SLACK, BRING AFFECTED BY THE CONTINUED STRUCTURAL SHIFT IN THE COMPOSITION TO RE-EXPORTS.
IN THE FIRST QUARTER, DOMESTIC EXPORTS SHOWED VIRTUALLY NO GROWTH IN REAL TERMS OVER A YEAR EARLIER.
ALTHOUGH DOMESTIC EXPORTS TO CHINA AND TO MANY MARKETS IN
REGION ASIA-PACIFIC
CONTINUED TO RISE SIGNIFICANTLY,
ΤΟ THOSE UNITED STATES, GERMANY, THE UNITED KINGDOM AND JAPAN FELL.
THE
THE
ABOUT OF
OF IMPORTS RECORDED A FURTHER SUBSTANTIAL GROWTH TOTAL 20%
MOST IN REAL TERMS IN THE FIRST QUARTER OVER A YEAR EARLIER. THIS GROWTH WAS ATTRIBUTABLE TO THE CONTINUED EXPANSION IN HONG KONG'S RE-EXPORT TRADE.
THE SUSTAINED INCREASE IN RETAINED IMPORTS, BY ABOUT 10% IN REAL TERMS IN THE FIRST QUARTER OVER A YEAR EARLIER, ALSO CONTRIBUTED.
/AMONG THE