2021 economic growth forecast revised upwards

The local economy is tipped to enjoy stronger growth in 2021 than previously thought.

The government on Friday revised upwards the city’s full-year GDP growth forecast as the economy continued to improve amid an easing local Covid-19 outbreak. The economy is now expected to expand by 5.5 percent to 6.5 percent, up from the previous growth forecast of 3.5 percent to 5.5 percent.

The government cited strong economic growth in the first half and the consumption voucher scheme that came into effect in August as reasons behind the projected increase.

Second-quarter GDP growth was also revised upwards to 7.6 percent from 7.5 percent estimated earlier.

Officials pointed out that while the global economy continued to recover, risk factors remained. These include the spread of the Delta coronavirus strain, China-US elections and the evolving monetary policy stance of major central banks.