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The Census and Statistics Department (C&SD) released today (September 25) the preliminary figures of constant price Gross Domestic Product (GDP) by economic activity for the second quarter of 2006.
GDP by economic activity shows the value of production for individual economic activities. The value of production is measured by net output or value-added, which is calculated by deducting intermediate input consumed in the process of production from the gross value of output. Constant price GDP by economic activity enables analysis of the growth profiles of individual economic sectors in real terms, by removing the effect of price changes. It also enables analysis of the contributions of different economic activities or sectors to the overall economic growth in real terms.
Gross Domestic Product (GDP) increased by 5.2% in real terms in the second quarter of 2006 over a year earlier, compared with the 8.0% growth in the first quarter of 2006.
Analysed by constituent sector and on a year-on-year comparison, net output in all the service sectors taken together rose by 7.0% in real terms in the second quarter of 2006 over a year earlier, after a strong growth of 9.1% in the first quarter of 2006.
Net output in financing, insurance, real estate and business services increased by 13.8% in real terms in the second quarter of 2006 over a year earlier, after a 13.1% increase in the first quarter of 2006. The growth impetus came mainly from the strong growth in the banking services, on the back of a substantial increase in commission and service income. Also relevant was a leap in net output of the stock brokerage companies, underpinned by the significant increase in stock market turnover in the second quarter.
Net output in the wholesale, retail and import and export trades, restaurants and hotels increased by 6.8% in real terms in the second quarter of 2006, after a 12.4% increase in the first quarter of 2006. The growth was mainly attributable to the continued growth in offshore trade and still vibrant inbound tourism, which helped to cushion the impact of the slackening performance in external trade. Also attributed was the growth in consumer demand.
Net output in transport, storage and communications increased by 6.5% in real terms in the second quarter of 2006 over a year earlier, after an 11.2% rise in the first quarter of 2006. The transport and storage showed some moderation in growth in the second quarter of 2006, upon the slow-down in re-export growth.
Net output in community, social and personal services increased by 1.1% in real terms in the second quarter of 2006 over a year earlier, following a 1.3% rise in the first quarter of 2006.
Net output in the local manufacturing sector increased by 5.3% in real terms in the second quarter of 2006 over a year earlier, after a 7.0% rise in the first quarter of 2006.
As to the electricity, gas and water sector, net output recorded an increase of 2.2% in real terms in the second quarter of 2006 as compared with a year earlier, after a decline of 0.1% in the first quarter of 2006. The increase in the second quarter occurred in both commercial and domestic consumption of electricity.
Net output in the construction sector declined by 4.9% in real terms in the second quarter of 2006 as compared with a year earlier, following a decrease of 12.3% in the first quarter of 2006. The decline was due to the continued fall-off in public sector construction upon the winding down of some major infrastructure projects.
Further information
The year-on-year percentage changes in constant price GDP by economic activity from the second quarter of 2005 to the second quarter of 2006 are shown in Table 1 (Text version of Table 1). For enquiries about statistics on GDP by economic activity, please call the National Income Section of the C&SD at telephone no. 2116 5115.
The figures on constant price GDP by economic activity for the second quarter of 2006 are only preliminary. When more data become available, the preliminary figures will be revised. Users may obtain a copy of this press release at the Website of the C&SD (Address: http://www.censtatd.gov.hk/). More detailed figures can also be found at the Hong Kong Statistics section of the website.
Ends/Monday, September 25, 2006
Issued at HKT 16:16
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