Press Release - May 26, 2000
The Hong Kong SAR's economy surged substantially in the first quarter of 2000, with the Gross Domestic Product (GDP) recording a 14.3 per cent growth in real terms over a year earlier.

This was the fastest growth recorded since the third quarter of 1987.

On a seasonally adjusted quarter-to-quarter comparison, GDP expanded for the fifth consecutive quarter, leaping by 5.4 per cent in real terms in the first quarter of 2000. This was the fastest growth recorded since the first quarter of 1986.

Externally, the growth in exports of goods and services accelerated to 20.7 per cent and 16.4 per cent respectively in real terms in the first quarter of 2000 over a year earlier, on the back of the global economic upswing and improved competitiveness for Hong Kong's output.

Commenting on the significant jump in Hong Kong's economy, the Chief Executive, Mr. Tung Chee Hwa, said: "We are confident that our economy will grow to 6 per cent for the whole of the year."

The government's earlier estimate was 5 per cent for 2000.

Mr. Tung attributed the economic recovery to the hard work and collective effort of Hong Kong people over the last two years.

Hong Kong would continue to be very watchful in particular the external changing environment, the recent increase in interest rate in the United States, and the possible future increases that would affect economic growth. However, we believe China's imminent accession to the World Trade Organization would help significantly boost China's exports and economic growth, thereby bringing huge economic benefits to the Hong Kong economy.

For further information please contact Chief Information Officer, Frank Chuan.