Overall GDP Grows 5.9% in Q1 2026, Driven by Strong Service and Retail Trades Sectors Performance

Chain volume measures of Gross Domestic Product by economic activity for the first quarter of 2026

The Census and Statistics Department (C&SD) released today (June 22) the preliminary figures of chain volume measures of Gross Domestic Product (GDP) by economic activity for the first quarter of 2026.

GDP figures by economic activity show the value of production in respect of individual economic activities. The value of production is measured by value added or net output, which is calculated by deducting intermediate input consumed in the process of production from the gross value of output. Volume measures of GDP by economic activity, expressed in terms of chain volume measures net of the effect of price changes, enable analysis of the output growth profiles of individual economic sectors in real terms.

According to the preliminary figures, overall GDP increased by 5.9% in real terms in the first quarter of 2026 over a year earlier, compared with the increase of 4.0% in the fourth quarter of 2025.

Analysed by constituent services sector and on a year-on-year comparison, value added in respect of all the services activities taken together increased by 6.1% in real terms in the first quarter of 2026 over a year earlier, compared with the growth of 3.9% in the fourth quarter of 2025.

Value added in the import and export, wholesale and retail trades sector increased by 14.5% in real terms in the first quarter of 2026 over a year earlier, compared with the increase of 8.0% in the fourth quarter of 2025.

Value added in the accommodation and food services sector increased by 0.5% in real terms in the first quarter of 2026 over a year earlier, compared with the increase of 1.4% in the fourth quarter of 2025.

Value added in the transportation, storage, postal and courier services sector increased by 4.3% in real terms in the first quarter of 2026 over a year earlier, compared with the increase of 4.8% in the fourth quarter of 2025.

Value added in the information and communications sector increased by 3.8% in real terms in the first quarter of 2026 over a year earlier, compared with the increase of 2.1% in the fourth quarter of 2025.

Value added in the financing and insurance sector increased by 8.0% in real terms in the first quarter of 2026 over a year earlier, compared with the increase of 5.2% in the fourth quarter of 2025.

Value added in the real estate, professional and business services sector registered an increase of 2.7% in real terms in the first quarter of 2026 over a year earlier, compared with the increase of 0.7% in the fourth quarter of 2025.

Value added in the public administration, social and personal services sector rose by 2.1% in real terms in the first quarter of 2026 over a year earlier, after the increase of 1.8% in the fourth quarter of 2025.

As for sectors other than the services sectors, value added in the local manufacturing sector increased by 3.1% in real terms in the first quarter of 2026 over a year earlier, compared with the increase of 5.8% in the fourth quarter of 2025.

Value added in the electricity, gas and water supply, and waste management sector increased by 1.6% in real terms in the first quarter of 2026 over a year earlier. When compared with a year earlier, value added in this sector remained virtually unchanged in the fourth quarter of 2025.

Value added in the construction sector increased by 7.6% in real terms in the first quarter of 2026 over a year earlier, as against the decrease of 7.3% in the fourth quarter of 2025.

Further information

The year-on-year percentage changes of GDP by economic activity in real terms from the first quarter of 2025 to the first quarter of 2026 are shown in Table 1. More detailed statistics are given in the report "Gross Domestic Product by Economic Activity". Users can browse and download this publication at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1030004&scode=250). For enquiries about statistics on GDP by economic activity, please call the National Income Branch (2) of the C&SD at 3863 2743.

Figures of chain volume measures of GDP by economic activity for the first quarter of 2026 are only preliminary at this stage. When more data become available, the preliminary figures will be revised accordingly and can be found at the C&SD website (www.censtatd.gov.hk/en/scode250.html).

The Census and Statistics Department, Photo source: reference image

Fourth-term Human Resources Planning Commission convenes sixth meeting

The sixth meeting of the fourth-term Human Resources Planning Commission was held today (June 22).

At the meeting, the Office of the Government Economist briefed members on Hong Kong's latest economic performance and labour market situation. Members noted that Hong Kong's economy expanded robustly in the first quarter of 2026, growing by 5.9 per cent over a year earlier, marking the strongest economic growth in nearly five years. The labour market showed moderate improvement in recent months, with the latest seasonally adjusted unemployment rate (for March 2026 to May 2026) dropping from 3.9per cent to 3.7per cent compared with the period from November 2025 to January 2026. Looking ahead, Hong Kong's economic outlook remains largely resilient, with the real Gross Domestic Product growth forecast for 2026 projected at 2.5per cent to 3.5per cent.

In addition, the Security Bureau briefed members on the various immigration facilitation measures for the public and businesses. These included measures facilitating the southbound and northbound two-way flow of talent, and visa and immigration facilitation measures. Through the immigration facilitation measures for the public and businesses, the Hong Kong Special Administrative Region (HKSAR) Government will actively align with the National 15th Five-Year Plan and fully leverage Hong Kong's unique role as a "super connector" under "one country, two systems" to better integrate into and serve the overall national development. Members welcomed the enhancement measures, noting that they would further enrich Hong Kong's talent ecosystem and inject new momentum into the city's long-term economic development.

Members also noted that the Health Bureau had commissioned the Hospital Authority (HA) to carry out a new round of healthcare manpower projections this year. The purpose of the projection exercise is to ensure that there are sufficient healthcare professionals to meet the ever-evolving demand for healthcare services in society, and that the relevant training policies remain aligned with actual circumstances. The Government and the HA will further refine the methodology for this round of projection and promote data collection simultaneously. This includes systematically compiling relevant data such as overall service volume statistics, human resource distribution, and local training scale from the industry and various medical specialties. Views regarding future population changes and the status of technology application raised by members will be incorporated. The results are expected to be published in mid-2027. Based on the projection results, the Government will revisit the existing strategies for local healthcare manpower in tandem with the next University Grants Committee triennium, as well as the reviews of other schemes, in making further recommendations on the relevant healthcare training places. With a continuously ageing population, the demand for healthcare services is facing structural growth. Members supported the HKSAR Government's proactive efforts in conducting the healthcare manpower projection, utilising data analysis to guide policy and service planning, thereby enhancing the precision and forward-looking nature of public health policies.

Source: AI-found images