On March 20, the Census and Statistics Department (C&SD) of Hong Kong released the preliminary year-on-year net Gross Domestic Product (GDP) figures by economic activity for the fourth quarter of 2022 and the whole year of 2022.
According to the preliminary figures, overall GDP decreased by 4.2 percent year-on-year in the fourth quarter of 2022, compared with a 4.6 percent year-on-year decrease in the third quarter. For 2022 as a whole, GDP decreased by 3.5 percent from 2021.
When analyzed by the composition of service industries and compared with last year’s period, the net value added of all service activities combined fell by 4.2 percent in real terms in the fourth quarter. In comparison, the decline in the third quarter was 3.3 percent. The deteriorating external environment and tighter financial conditions continued to affect the Hong Kong economy in the fourth quarter. Compared to 2021, the net value added of all service industries combined declined by 3.0 percent in real terms for the year.
The net value added of import and export trade, wholesale, and retail industries fell by 19.5 percent in real terms in the fourth quarter, following a 12.5 percent decline in the third quarter compared to last year. For the whole year, the net value added to this industry fell by 12.1 percent in real terms. For 2022 as a whole, this sector saw a decline of 12.1 percent.
The output of hotels, guesthouses, boarding houses, and other establishments providing short-term accommodation and the food services sector decreased by 5.7 percent in the fourth quarter of 2022, after a fall of 7.1 percent in the third quarter. For 2022, net output in this sector decreased by 10.9 percent.
The transportation, storage, postal, and courier services sectors increased by 2.0 percent in the fourth quarter of 2022, and this follows a decrease of 5.7 percent in the third quarter. As a result, for 2022, net output in this sector recorded a decline of 4.8 percent.
The information and communications sector increased by 1.0 percent in the fourth quarter of 2022, which compares with growth of 0.3 percent in the third quarter. For 2022, net output in this sector rose by 0.8 percent.
The financing and insurance sector increased by 0.2 percent in the fourth quarter of 2022, and this follows a decrease of 1.9 percent in the third quarter. For 2022, net output in this sector decreased by 0.1 percent.
Net output in the real estate, professional and business services sectors registered a decrease of 2.4 percent in the fourth quarter of 2022. This compares with a decline of 2.1 percent in the third quarter. For 2022, net output in this sector decreased by 2.8 percent.
In public administration, the social and personal services sector rose by 1.9 percent in the fourth quarter of 2022. This follows an increase of 1.7 percent in the third quarter. Net output in this sector grew by 0.8 percent in real terms in 2022.
As for sectors other than the services sector, net output in the local manufacturing sector dropped by 0.1 percent in the fourth quarter of 2022, while there was a decrease of 0.5 percent in the third quarter. For 2022, net output in this sector rose by 0.2 percent.
Output in the electricity, gas, and water supply and waste management sector decreased by 1.4 percent in the fourth quarter of 2022, and this follows a decrease of 1.0 percent in the third quarter. For 2022, net output in this sector registered a decline of 2.4 percent.
The construction sector shows signs of recovery, increasing by 1.7 percent in the third quarter and 4.6 percent in the fourth quarter of 2022. For 2022, net output in this sector grew by 4.9 percent over the 2021 figure.
