Hong Kong's economy may grow at a record low this year

Hong Kong John Tsang, financial secretary of Hong Kong, said Hong Kong's economic growth could reach at least the lowest annual From 2012, due largely to a decline in tourism and exports. Mr Tsang told lawmakers on Thursday in his annual budget speech that Hong Kong's economy can be achieved growth of 1 to 2 percent in 2016, lower than the 2.3 percent growth last year. GDP.. Rose 0.2 percent in the fourth quarter compared with the third quarter, lower than the median 0, 3 percent of economists in a Bloomberg News survey. Mr Tsang said: `domestic demand and investor sentiment fell as concern about uncertainty regarding will raise interest rates in the US and global economic outlook is not very good. ' He said: 'The local economy risk falling due within one year ahead and the outlook less favorable. Because there are fewer Chinese tourists shopping in Hong Kong retailers in the city has seen sales drop in the past two consecutive years. Meanwhile, home prices have fallen 11 percent since September. Mr Tsang also face challenges stimulate economic growth as well as social tensions in the worst riots two weeks past that erupted with the illegal street vendors that prompted him to warn the crisis worsened and the possible impact on Hong Kong's economy. To stimulate the economy, Mr Tsang tax cuts for small and medium-sized companies and canceled the license fee for travel agencies, hotels and restaurants affected by the drop in tourism. For individuals, the government will increase subsidies and tax cuts on salaries in the fiscal year that begins on 1 April next to. He said that the new budget measures to stimulate growth