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Business receipts in value terms of almost all the major service industries showed decreases of different magnitudes in the first quarter of 2009 when compared with the first quarter of 2008, according to the provisional business receipts indices released today (June 11) by the Census and Statistics Department (C&SD).
The outbreak of the financial tsunami in September last year has had a widespread impact on different service industries in Hong Kong. Comparing the first quarter of 2009 with the first quarter of 2008, the financing (except banking) industry recorded the largest decline in business receipts (-46.9%), mainly attributable to the marked decline in the stock market turnover. Other major service industries that recorded significant decreases in business receipts of over 20% included wholesale (-25.7%), import and export trade (-23.1%), transportation (-22.8%) and courier (-20.1%).
On the other hand, food services (mainly referring to services provided by restaurants) recorded a slight year-on-year increase in business receipts (+1.5%) in the first quarter of 2009.
Analysed by service domain, business receipts of the computer and information technology services domain dropped significantly by some 27% in the first quarter of 2009 when compared with the first quarter of 2008. The decline was mainly attributable to the fall in export of computer and related products. During the same period, a smaller decline in business receipts was observed in the tourism, convention and exhibition services domain (-5.5%). While expenditure of tourists remained broadly stable, the decline was mainly due to the decrease in business receipts of hotels and travel agents when compared with the same period last year.
Comparing the first quarter of 2009 with the fourth quarter of 2008, business receipts of most major service industries recorded decreases of different magnitudes. Major service industries that recorded significant decreases in business receipts of over 20% included accommodation (mainly referring to services provided by hotels) (-27.4%), wholesale (-26.6%), import and export trade (-24.2%), transportation (-24.1%) and courier (-22.7%). It should be noted that this comparison might be affected by seasonal factors. The decrease recorded for the accommodation industry was to some extent affected by the fact that the fourth quarter is usually a high season for this industry.
On the other hand, a notable quarter-to-quarter growth was recorded in the banking industry (+20.5%), mainly due to the increase in non-interest income.
Table 1 presents the provisional business receipts indices for selected service industries and service domains for the first quarter of 2009, while Table 2 shows the time series of the business receipts indices for the recent five quarters.
The revised business receipts indices for the first quarter of 2009 will be released at the website of C&SD (http://www.censtatd.gov.hk/hong_kong_statistics/index.jsp) and relevant publications of the C&SD starting from July 24, 2009.
Data for compiling the business receipts indices are mainly based on the Quarterly Survey of Service Industries conducted by the C&SD, supplemented by relevant data provided by the Hong Kong Monetary Authority and the Hong Kong Tourism Board.
A service domain differs from a service industry in that it comprises those economic activities which straddle different industries but are somehow related to a common theme. It may include all activities carried out by all establishments in a service industry that is closely related to the domain. For a service industry that is less closely related, however, only a portion of the establishments in the industry or even only part of the economic activities of the establishments is related to the domain. Taking the tourism, convention and exhibition services domain as an example, it includes all services of all hotels and travel agents; and some (those involving visitors as customers) but not all of the services of restaurants, retailers and transport operators.
The classification of service industries follows the Hong Kong Standard Industrial Classification (HSIC), which is used in various economic surveys for classifying economic units into different industry classes. Upon the implementation of the new HSIC Version 2.0 by the C&SD in October 2008, the new classification has been adopted in compiling the quarterly business receipts indices. Starting from the first quarter of 2009, all business receipts indices are compiled based on the HSIC Version 2.0, and the base period of the indices has been changed to 2008 (i.e. with the quarterly average of the indices in 2008 taken as 100).
The series of business receipts indices under the HSIC Version 2.0 has also been backcasted to the first quarter of 2005. Readers who are interested in the backcasted series or have enquiries about the business receipts indices may contact the Business Services Statistics Section of the C&SD (Tel: 2802 1277 or E-mail: business-receipts@censtatd.gov.hk).
Details of the compilation method of the business receipts indices are given in the report "Quarterly Business Receipts Indices for Service Industries, First Quarter 2009". The C&SD has recently conducted a review on the printing of statistical publications and has decided that the print version of this report will no longer be produced starting from the 2009 series. Nevertheless, the publication is still available for downloading free of charge from the website of the C&SD at (http://www.censtatd.gov.hk/products_and_services/products/publications/statistical_report/commerce_and_industry/index.jsp).
Ends/Thursday, June 11, 2009
Issued at HKT 16:30
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