The impact of the Occupy movement on the retail and tourism sectors is beginning to emerge, even though concrete data is not out yet, Financial Secretary John Tsang said today.
During a press briefing on Hong Kong's economy this morning, Mr Tsang pointed out that October retail sales growth had slowed, while the business climate for SMEs has also deteriorated. But he vowed that the Government would take measures to help small and medium-sized enterprises if they needed it.
Mr Tsang also noted that the number of visitors coming to Hong Kong from places other than the Mainland had reversed its upward trend in the third quarter.
He said the financial system, stock and foreign exchange markets have been operating normally over the past two months, but he is worried that prolonged protests will further undermine consumer and investor confidence and exert pressure on income growth and the employment market, which would have a knock-on effect on the economy.
Mr Tsang was also not optimistic about the economic outlook in the fourth quarter.
The city's economic growth forecast for this year was already downgraded to 2.2% last month, but as uncertainty remains, Mr Tsang did not rule out growth dropping lower than 2.2%.
The finance chief also noted people are concerned about the property market and that home prices have increased 10% in the first 10 months of the year, while property transactions are up 25% compared to last year, reaching an average of 5,700 a month.
He stressed that the Government remains vigilant to housing bubble risks and will take relevant measures when necessary.
