Hong Kong business confidence declines amid high US interest rates

Business confidence in Hong Kong has significantly declined in the first quarter of 2024, hitting the lowest point among cities in the Greater Bay Area, as reported by a survey from Standard Chartered Bank (Hong Kong) and the Hong Kong Trade Development Council. This decline is primarily attributed to high US interest rates causing an outflow of capital, adversely impacting the local market and the import-export sector. Despite rising business confidence in other parts of the Greater Bay Area, uncertainties like geopolitical tensions continue to affect Hong Kong’s economic outlook.