Business receipts in value terms of many major service industries showed decreases of different magnitudes in the third quarter of 2022 when compared with the third quarter of 2021, according to the provisional figures of business receipts indices released today (December 8) by the Census and Statistics Department (C&SD).
      
     Comparing the third quarter of 2022 with the third quarter of 2021, double-digit decreases were recorded in business receipts of the financing (except banking) (-18.5%), real estate (-11.5%), import/export trade (-11.2%) and insurance (-10.8%) industries. On the other hand, double-digit increases were recorded in business receipts of the accommodation services (+19.5%), and administrative and support services (+11.5%) industries during the same period.
      
     Analysed by service domain, business receipts of the tourism, convention and exhibition services domain increased by 35.7% year-on-year during the same period, whereas those of the computer and information technology services domain decreased by 5.6% year-on-year.
      
     On a seasonally adjusted quarter-to-quarter comparison, business receipts in value terms of around half of the major service industries recorded increases of different magnitudes in the third quarter of 2022 when compared with the second quarter of 2022. In particular, a double-digit increase was recorded in business receipts of the banking (+11.7%) industry. On the other hand, a double-digit decrease was recorded in business receipts of the import/export trade (-11.1%) industry during the same period.
      
     Comparing the third quarter of 2022 with the second quarter of 2022 and on a seasonally adjusted basis, business receipts of the tourism, convention and exhibition services domain increased by 4.8%, whereas those of the computer and information technology services domain decreased by 6.1%.
      
Commentary
      
     A Government spokesman said that in the third quarter of 2022 business receipts of many major service industries were affected by the worsened external environment, continued disruptions to cross-boundary transportation and tightened financial conditions. Nonetheless, partly thanks to the generally stable local epidemic situation and the Government's disbursement of consumption vouchers, some domestically-related industries saw improvement in business.
      
     On a year-on-year comparison, business receipts of many major service industries recorded declines in the third quarter, notably the financing (except banking), real estate, import/export trade and insurance industries. On the other hand, business receipts of some other industries rose, notably the accommodation services, and administrative and support services industries, though the increase in the former was largely attributed to a low base of comparison. On a seasonally adjusted quarter-to-quarter comparison, business receipts showed mixed performances across industries.
      
     Looking ahead, the spokesman pointed out that the austere external environment will continue to pose immense pressure on externally-oriented service industries. As for domestically-oriented service industries, while the improved employment situation and the Consumption Voucher Scheme should continue to provide support in the near term, tightened financial conditions will partly offset the positive effects. Nonetheless, as long as the epidemic situation remains stable and under control, domestic economic activities should revive gradually. It remains vital for the community to work together with the Government to contain the epidemic.
      
Further information
      
     Table 1 presents the business receipts indices and their corresponding year-on-year rates of change in respect of selected service industries and service domains for the recent five quarters, while Table 2 shows the corresponding quarter-to-quarter rates of change in the business receipts indices for the recent five quarters based on the seasonally adjusted series.
      
     The revised figures of business receipts indices for the third quarter of 2022 will be released at the website of the C&SD (www.censtatd.gov.hk/en/web_table.html?id=93) and relevant publications of the C&SD starting from January 18, 2023.
      
     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 convention and exhibition organisers, short-term accommodation services and services of travel agents, and some (those involving visitors as customers) of the services of restaurants, retailers and transport operators.
      
     The classification of service industries follows the Hong Kong Standard Industrial Classification Version 2.0, which is used in various economic surveys for classifying economic units into different industry classes.
      
     More detailed statistics are given in the report "Quarterly Business Receipts Indices for Service Industries, Third Quarter 2022".  Users can download this publication at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080006&scode=520).
      
     For enquiries about the business receipts indices, please contact the Business Services Statistics Section of the C&SD (Tel: 3903 7267 or email : business-receipts@censtatd.gov.hk).

Ends/Thursday, December 8, 2022
Issued at HKT 16:30

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