GDP Target To Be Met If Covid Stays Under Control: FS

Financial Secretary Paul Chan said on Sunday he's optimistic economic growth this year can meet the government's forecast – provided the coronavirus epidemic remains under control.

The growth estimate was raised last month to between 5.5 and 6.5 percent – up from the administration’s previous forecast of 3.5 to 5.5 percent.

But Chan noted the economic rebound has been uneven; catering and retail have been doing well, he said, but not industries like tourism and aviation.

"In retail, [the consumption voucher scheme] has led to more crowds at shops. The sales numbers for August are not out yet, but we expect them to do better than in the past. But because the border restrictions are still here, tourists cannot come," Chan told a Commercial Radio programme.

He said the SAR government is focusing its efforts on lifting border restrictions with the mainland, saying tourists would bring the biggest support to the economy.

In the meantime, he hopes local consumption can continue to drive economic recovery and stabilise the job market.

The finance chief also said the consumption voucher scheme is expected to boost GDP growth by more than the 0.7 percent the government had initially forecast.

He expressed confidence that officials can process all the remaining consumption voucher applications that required supplementary information from applicants, before a deadline on Wednesday.

Angry elderly residents were seen queuing at a centre in Mong Kok at the start of the month, as they found out they were unable to collect money under the voucher scheme.

Chan said officials have gone through thousands of applications in recent days.

He said he's visited several of the centres handling these cases, and although some of the applicants were upset heading into the offices, most left happy.