XN000022-1996-11-04 — Page 8

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Transport service should have been weak affected by the marked deceleration in trade in goods. However, finance, business and professional services should have maintained a healthy growth.

Imports of services increased by 0.5% in real terms in the second quarter of 1996 over the same quarter of 1995, following an increase of 1.6% in the first quarter.

On investment spending, gross domestic fixed capital formation recorded a year-on-year increase of 10.4% in real terms in the second quarter of 1996. The corresponding increase in the first quarter was 11.5%.

Within this component, construction output in the public sector recorded an increase of 3.3%, after a large increase of 23.8% in the first quarter. Construction output in the private sector also increased, by 2.2%, after having registered year-on- year declines for five consecutive quarters. Taken together, overall expenditure on construction rose by 2.6%.

Expenditure on machinery and equipment remained robust, registering an increase of 15.8% in the second quarter, and 16.8% in the first quarter.

Private consumption expenditure showed a year-on-year increase of 2.5% in real terms in the second quarter, after 3.4% in the first quarter. Government consumption expenditure increased by 5.2% in real terms in the second quarter of 1996 over a year earlier, following 2.9% in the first quarter.

The implicit price deflator of the GDP, as a broad measure of overall inflation in the economy, rose by 6.5% in the second quarter of 1996 over a year earlier, following 6% in the first quarter.

1 and 2.

Summaries of the latest expenditure-based GDP figures are presented in Tables

More details on the annual and quarterly estimates of GDP are published in a report entitled "Quarterly Report of Gross Domestic Product Estimates Second Quarter 1996".

This bilingual report is now on sale at $14 per copy at the Government Publications Centre, Queensway Government Offices, Low Block, Ground Floor, 66 Queensway, Hong Kong. It may also be purchased at the Publications Unit of the Census and Statistics Department, 19th Floor, Wanchai Tower, 12 Harbour Road, Wan Chai, Hong Kong. Telephone enquiries may be directed to the National Income Branch (1) of the Census and Statistics Department on 2582 5077.