The Hong Kong maritime hub is a convenient gateway to the industrial powerhouse of Southern China. The rest of Asia, the world’s most dynamic economic region, is just a short flight away. Businesses in Hong Kong are just five hours away from more than half the world’s population.
In 2014 Hong Kong’s gross domestic economy topped HK$2.25 trillion, a per capita GDP of HK$39,400. Total exports during the year were HK$263.65bn, while imports amounted to HK$115.5bn.
Hong Kong has been recognised for some key economic achievements including:
- The world’s freest economy
- The world’s most service oriented economy, with service sectors accounting for more than 90% of GDP
- The second largest recipient of foreign direct investment in Asia, after the Chinese mainland
- The third largest source of FDI in Asia, after Japan and the Chinese mainland
Historically Hong Kong has been highly dependent on four key industrial sectors to support its economy – financial services, trading and logistics (including marine), Tourism and professional and producer services. More recently, the Hong Kong Government has been actively encouraging the creation of businesses in the following sectors: cultural and creative, medical, education, innovation and technology, testing and certification and environment.
The four key industry sectors contributed 57.8% of Hong Kong’s GDP in 2013. These sectors provided some 47.3% to total employment in the same year.
Of the four key industrial sectors trading and logistics (including marine) is the largest in terms of value added and employment. In 2013 the sector contributed HK$500.5bn or 23.9% of GDP. During 2013, trading and logistics accounted for 20.6% of total employment or 767,200 pax.
Hong Kong is subject to one of the lowest and simplest tax regimes in the world
- Profits tax is currently – 16.5%
- Salaries tax is currently – 15%
- Property tax is currently – 15%
As of 2014, the Hong Kong population stood at 7.24m. The labour force in Hong Kong at the corresponding date was 3.88m or 61.1% of the total population aged 15 and over. Some 29.8% of the population aged 15 and over has received a post-secondary education.
Hong Kong’s employed population by occupation:
- Managers and administrators – 10.5%
- Professionals – 7.5%
- Associate professionals – 19.9%
- Clerical support workers – 13.8%
- Service and sales workers – 16.8%
- Craft and related workers – 6.7%
- Plant and machine operators and assemblers – 4.7%
- Elementary occupations – 20%
- Others – 0.1%
The minimum wage in Hong Kong as of July 2015, is HK$32.5 per hour. Median income is HK$14,354 per month.