Hong Kong economy ‘to grow up to 5.5 per cent’, budget offers HK$5,000 in coupons

Hong Kong’s economy is set to bounce back from the devastation wrought by the Covid-19 pandemic to register growth of up to 5.5 per cent in 2021, a boost that will allow the finance chief to dish out coupons worth HK$5,000 to each permanent resident. 

Financial Secretary Paul Chan Mo-po delivered an optimistic outlook for the city’s economic recovery during his budget address on Wednesday morning, assuming the successful roll-out of the city’s Covid-19 vaccination drive, which launched this week.

He forecast economic growth of 3.5 per cent to 5.5 per cent for the calendar year. But the gross domestic product forecast would take the economy back to 2017 levels.

To revive the economy, he has offered HK$5,000 in consumption coupons, to be handed out electronically in instalments, to each Hong Kong permanent resident. The coupons will be subject to restrictions, including the requirement that eligible residents must be living in Hong Kong. 

Our live blog below captured the latest announcements.

Reporting by Denise Tsang, Tony Cheung, Jeffie Lam, Joyce Ng, Kanis Leung and Elizabeth Cheung