HONG KONG – Hong Kong's economy grew 1.8 percent in the third quarter of 2024 from a year earlier, expanding for a seventh straight quarter, advance official estimates on gross domestic product (GDP) showed on Thursday.

The 1.8 percent growth follows a 3.2 percent increase in the second quarter, according to Q3 GDP data released by the Census and Statistics Department.

For the first three quarters of 2024 as a whole, the special administrative region’s GDP rose by 2.6 percent in real terms over a year earlier.

On a seasonally adjusted quarter-to-quarter comparison basis, the city’s GDP decreased by 1.1 percent in real terms in the third quarter when compared with the second quarter of this year.

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Analyzed by major GDP component, private consumption expenditure fell by 1.4 percent in real terms in the third quarter year-on-year, compared with a 1.6 percent decrease in Q2.

According to the data, government consumption expenditure recorded a 2.1 percent increase in real terms in Q3 over a year earlier, compared with a 2.2 rise in the previous quarter. Analyzed by major expenditure component, total exports of goods saw decelerated year-on-year growth alongside softening economic growth in some major markets.

Total exports of goods saw a 3.9 percent increase in Q3 in real terms over a year earlier, moderating from a 7.5 percent Q2 rise, Meanwhile, goods imports grew by 2.6 percent in real terms in the third quarter of 2024, compared with a 3.4 percent rise in Q2.

In Q3, exports of services rose by 2.4 percent in real terms over a year earlier, compared with a 1.1 percent increase in Q2, while imports of services increased by 8.2 percent in real terms in the third quarter after increasing 12.3 percent in the previous quarter.

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A government spokesman said overall investment expenditure rose further in tandem with the overall economic growth. However, private consumption expenditure continued to decline amid the change in residents' consumption patterns.

Looking ahead, the economy should continue to grow in the remainder of the year, said the spokesman.

“While global economic uncertainties and trade conflicts may affect Hong Kong's exports of goods, monetary easing across major central banks and an improved outlook for the mainland economy following the recent introduction of a wide range of stimulus measures would help support sentiment and activities in the domestic market,” reads a government statement.

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A possible easing of the Hong Kong dollar alongside the US dollar, coupled with the central government's various measures benefitting Hong Kong, the HKSAR government's various initiatives to boost market sentiment and increasing employment earnings are conducive to spending by both residents and visitors in the domestic market, though the change in their consumption patterns will continue to pose challenges, added the spokesman.