Hong Kong announces fresh economic support measures worth $511 million

Hong Kong Photograph:( Reuters )

WION Web Team Hong Kong Dec 04, 2019, 02.31 PM (IST)

Hong Kong's government on Wednesday pledged HK$4 billion ($511 million) in additional relief measures to help shore up an economy battered by months of protests that have eroded business confidence in the Asian financial hub.

Financial Secretary Paul Chan announced the measures at a news conference, where he also told reporters the anti-Beijing demonstrations had hurt international investor confidence in the Chinese-ruled city.

It marks the fourth round of such stimulus after the government previously offered around HK$21 billion in economic support, particularly to help the transport, tourism and retail industries.

Watch: Protests take toll on Hong Kong economy

Business activity in Hong Kong contracted at the fastest pace in 21 years in November, dragged down by anti-government protests and softening global demand, an IHS Markit survey showed on Wednesday.

Increasingly violent demonstrations have disrupted the Chinese-ruled city for nearly six months, battering its retail and tourism sector and plunging its economy into recession for the first time in a decade.

The seasonally adjusted headline Hong Kong Purchasing Manager's Index (PMI) fell to 38.5 in November, down from 39.3 in October and signalling the steepest private sector downturn since the SARS epidemic in early 2003.

(With inputs from Reuters)

Story highlights

It marks the fourth round of such stimulus after the government previously offered around HK$21 billion in economic support