HK's GNP up 8.9% in 2nd quarter
(Xinhua)
Updated: 2004-09-21 10:06

Hong Kong's gross national product (GNP) went up 8.9 percent to HK$310.9 billion (US$39.64 billion) in the second quarter over a year earlier.

Compared with the gross domestic product (GDP), estimated at HK$309.2 billion, a net external factor income inflow of HK$1.7 billion was recorded, equivalent to 0.6 percent of the GDP in that quarter, according to a government press release.

After netting out the effect of price changes, the GNP rose 12.1 percent in real terms. This was the same as the corresponding increase recorded for GDP in the second quarter.

GNP exhibited phenomenal growth in the second quarter with a strong upturn in overall economic activity and sustained net inflow of external factor income. The year-on-year growth rate was partly magnified by an exceptionally low base of comparison caused by SARS last year.

External factor income inflow and outflow remained sizable in the quarter, both accounting for almost one-third of Hong Kong's GDP.

Total factor income inflow into Hong Kong, estimated at HK$93.5 billion and equivalent to 30.3 percent of GDP, increased 23.5 percent over a year earlier.

Both external factor income inflow and outflow recorded double-digit growth, along with further increases in direct investment income and portfolio investment income inflows and outflows as global economic growth stayed strong, and the local economy rebounded.

The press release said the Chinese mainland was the largest source of Hong Kong's external factor income inflow in the second quarter, accounting for 24.2 percent of the total inflow.