ACEAIH
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D.
HONG KONG ECONOMY
There was an
The economy is performing exceptionally well. estimated growth in GDP in 1987 of about 13.5% comparerd with about
11% for 1986. The HKG estimate growth in 1988 will be 5%.
Domestic exports increased in real terms by 18.6% in 1986 and
by 26.8% in 1987.
The equivalent figures for
re-exports are 16.4% and 49.2%.
1988.
The annual inflation rate is expected to average around 7% in
It is too early to estimate the effect of the fall in stock market prices on Hong Kong but growth in 1988 is unlikely to be as high as in 1986 and 1987.
Property prices remain strong.
The Hong Kong Government have in hand or under planning an impressive number of major public projects including a third university, a light rail system in Tuen Mun and Yuen Long, two new container terminals, two 1600 bed hospitals, major reclamation in
Hung Hom and Aldrich Bay, and a road tunnel link between Tsuen Wan
and Sha Tin. In addition the private sector is constructing a
second tunnel under the harbour and a second road tunnel linking
Kowloon and the New Territories.
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