Results of monthly survey on business situation of small and medium-sized enterprises for August 2022
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The current diffusion index (DI) on business receipts amongst SMEs increased from 43.4 in July 2022 in the contractionary zone to 45.4 in August 2022, whereas the one-month's ahead (i.e. September 2022) outlook DI on business receipts was 48.0. Analysed by sector, the current DIs on business receipts, despite below the 50-mark, rose in August 2022 as compared with previous month for all the surveyed sectors except real estate, which signalled a lesser degree of contraction. The increases were most significant for import and export trades (from 41.1 to 44.7) and restaurants (from 46.0 to 48.9).
The current DI on new orders for the import and export trades increased from 43.1 in July 2022 to 46.9 in August 2022, whereas the outlook DI on new orders in one month's time (i.e. September 2022) was 48.9.
Commentary
A Government spokesman said that overall business sentiment among SMEs saw some improvement in August, with the current diffusion indices for most surveyed sectors recording increases. Expectations on the business situation in the following month were stable. Overall employment situation improved slightly.
The spokesman added that Phase II of the Consumption Voucher Scheme should continue to support consumption-related businesses, though tightened financial conditions and development of the local epidemic may affect sentiment in these sectors. The markedly deteriorating global economic prospects will dampen business sentiment in the externally-oriented sectors. It is crucial for the community to continue to work together with the Government to bring the epidemic under control.
Further information
The Monthly Survey on Business Situation of Small and Medium-sized Enterprises aims to provide a quick reference, with minimum time lag, for assessing the short-term business situation faced by SMEs. SMEs covered in this survey refer to establishments with fewer than 50 persons engaged. Respondents were asked to exclude seasonal fluctuations in reporting their views. Based on the views collected from the survey, a set of diffusion indices (including current and outlook diffusion indices) is compiled. A reading above 50 indicates that the business condition is generally favourable, whereas that below 50 indicates otherwise. As for statistics on the business prospects of prominent establishments in Hong Kong, users may refer to the publication entitled "Report on Quarterly Business Tendency Survey" released by the C&SD.
The results of the survey should be interpreted with care. The survey solicits feedback from a panel sample of about 600 SMEs each month and the survey findings are thus subject to sample size constraint. Views collected from the survey refer only to those of respondents on their own establishments rather than those on the respective sectors they are engaged in. Besides, in this type of opinion survey on expected business situation, the views collected in the survey are affected by the events in the community occurring around the time of enumeration, and it is difficult to establish precisely the extent to which respondents' perception of the business situation accords with the underlying trends. For this survey, main bulk of the data were collected around the last week of the reference month.
More detailed statistics are given in the "Report on Monthly Survey on the Business Situation of Small and Medium-sized Enterprises". Users can download the publication at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080015&scode=300).
Users who have enquiries about the survey results may contact Industrial Production Statistics Section of the C&SD (Tel: 3903 7246; email: sme-survey@censtatd.gov.hk).
Ends/Friday, September 9, 2022
Issued at HKT 16:30
Issued at HKT 16:30
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