The fifth day of the Lunar New Year to welcome the God of Wealth is an important folk activity during the Chinese New Year. On this day, the current Secretary for Financial Services and the Treasury of the Hong Kong Special Administrative Region Government, Paul Chan Mo-po, known as "Cai Ye" by Hong Kong citizens, published a blog to wish citizens health and success in the new year. "This year's Spring Festival atmosphere is particularly strong, with unique decorations in the streets and alleys, as well as festive lights in major shopping malls and along the Victoria Harbour. This enhances the atmosphere of the flower parade on the night of the first day of the Lunar New Year and the fireworks display on the night of the second day. Many friends and tourists excitedly took pictures, and the atmosphere was very lively."

Consumer confidence is gradually improving and recovering.

Paul Chan Mo-po stated that from the 29th day of the lunar month to the third day of the lunar new year, nearly 0.68 million visitors came to Hong Kong, an increase of about 6% year-on-year, with mainland and overseas visitors increasing by approximately 4% and 16%, respectively. The Dining and tourism industry also performed well, with Dining business increasing by more than 10% during the new year; in some traditional busy areas with concentrated tourists, the consumer spending was 20% higher than usual. As for the betting amount on the third day of the lunar new year, it increased by 10% compared to last year, exceeding 1.9 billion Hong Kong dollars.

"In the past few days, friends and family have all said that the atmosphere in the market is good this year, with a noticeable increase in foot traffic. Traditional tourist hotspots, shopping districts, or large shopping malls are all very crowded," Paul Chan Mo-po said.

Paul Chan Mo-po believes that with increased foot traffic, the overall market atmosphere is positive, reflecting that Consumer confidence is gradually improving and recovering. From the perspective of retail and Dining industries, the key to success is how to attract both "crowds" and "wealth". Based on observations from different business friends, the sales of high-priced goods during the new year are quite satisfactory, while products targeting the "affordable market" have also broken through. A common successful element observed is that citizens and tourists are exploring unique products and new consumer experiences, which allow them to Share on social media with friends and family.

Paul Chan Mo-po introduced that the government is actively organizing more unique activities to increase foot traffic and attract tourists. Among these, the Standard Chartered Marathon, which is widely popular among citizens and runners from around the world, will be held next Sunday (February 9), with more than 70,000 participants registered. Many shops and eateries are also taking the opportunity to launch unique sports products or Dining promotions to capitalize on the benefits brought by this grand event. Next month, the Kai Tak Sports Park, which can accommodate 0.05 million spectators, will grandly open, greatly enhancing Hong Kong's ability and appeal to host major events; coupled with the Hong Kong International Seven-a-side Rugby Tournament, Art Basel, and various financial conferences and events including "Youze Xiangjiang", there will be more opportunities for "crowd and wealth" generation.

Last year, Hong Kong's economy made steady progress.

Paul Chan Mo-po revealed that the Hong Kong SAR government will announce the preliminary estimate data of the economy for the fourth quarter and the whole year of 2024 tomorrow. The relevant data indicates that Hong Kong's economy is showing a trend of steady progress, with traveler data, private consumption, stock and property markets, employment market, and inflation showing continuous improvement in quarterly data reflecting recent trends.

In terms of the stock market, since the end of September last year, trading has continued to be active, with an average daily transaction amount of 147.6 billion Hong Kong dollars in January, which is about 12% higher than the average daily transaction amount for the whole of last year, and an increase of about 4% compared to December last year. In the property market, data from the market shows that trading continues to remain generally stable. In addition, the job market remains strong and inflation remains moderate, allowing Hong Kong's economy to start the year on a stable note.

However, in the face of ongoing risks from external political and economic situations and a high-interest environment, caution is still necessary.” Paul Chan Mo-po reminded.

Paul Chan Mo-po stated that everyone hopes for accelerated economic development, but simply relying on repeating existing models will not keep up with emerging trends and the constantly changing business environment. It can be said that how to "increase output" is key and must be achieved through trying new things, innovation, developing new products, new experiences, exploring new markets, and fostering new growth areas, which can bring better and faster economic growth to Hong Kong.

Paul Chan Mo-po believes that in recent years, the rapid development of cutting-edge technologies, especially AI, has become the focus of global attention and has profound implications for the global political and economic landscape. Technological innovation is the core of enhancing competitiveness and is also an important driving force for product and service innovation. The Hong Kong SAR government’s sustained and strong investment in the development of innovative technology is also gradually showing results. "In the future, we will continue to promote the development of AI in Hong Kong from aspects such as talent, data, computing power, algorithms, and application scenarios, and advance the transformation and application of scientific research achievements centered on AI, with the goal of turning innovative technology into practical social and economic benefits."

Editor/danial