Hong Kong government statistics: Overall short-term business prospects for large enterprises in Hong Kong in the second quarter are slightly cautious.

On April 24th, the Hong Kong Census and Statistics Department released the results of the Quarterly Business Performance Survey for the second quarter of 2026. A spokesperson for the Hong Kong government stated that the outbreak of the Middle East conflict has increased uncertainty in the periphery, leading to a slightly more cautious short-term business outlook for large enterprises in Hong Kong in the second quarter of 2026, with overall hiring intentions also slowing down. Looking ahead, the spokesperson pointed out that the evolving geopolitical situation in the Middle East remains a major external uncertainty factor, posing risks to short-term business prospects. However, economic activity in Hong Kong continues to expand, providing support to the local business environment. The government has implemented short-term targeted measures to address recent fuel price increases and will continue to closely monitor the situation. Business Conditions In terms of industries covered in the survey, the proportion of respondents who expect better business conditions in the second quarter of 2026 compared to the previous quarter (11%) is lower than those who expect worse conditions (16%). Compared to the results of the first quarter of 2026 survey, the proportion of respondents who expect better business conditions in the second quarter of 2026 is 11%, similar to the corresponding proportion in the first quarter of 2026. Meanwhile, the proportion of respondents expecting poorer business conditions has increased from 14% in the first quarter of 2026 to 16% in the second quarter of 2026. By industry analysis, in most covered industries, respondents overall expect business conditions in the second quarter of 2026 to be worse or roughly unchanged compared to the first quarter of 2026. Particularly in the accommodation and food services industry, a significant number of respondents expect business conditions to be worse in the second quarter of 2026 compared to the first quarter of 2026. On the other hand, in the finance and insurance industry, there are more respondents expecting better business conditions than those expecting worse conditions. The survey was conducted from March 3rd, 2026 to April 13th, 2026. Business/Output Volume In many covered industries, respondents overall expect business/output volume in the second quarter of 2026 to decrease or remain roughly unchanged compared to the first quarter of 2026. Especially in the accommodation and food services industry, a significant number of respondents expect business volume in the second quarter of 2026 to decrease compared to the first quarter of 2026. Conversely, in the real estate and finance and insurance industries, more respondents expect business volume to increase compared to the first quarter of 2026. Employment In most covered industries, respondents overall expect employment numbers in the second quarter of 2026 to decrease or remain roughly unchanged compared to the first quarter of 2026. Especially in the accommodation and food services and information and communication industries, more respondents expect employment numbers to decrease in the second quarter of 2026 compared to the first quarter of 2026. However, in the real estate industry, there are more respondents expecting an increase in employment numbers compared to those expecting a decrease. Goods Prices/Service Fees In most covered industries, respondents overall expect goods prices/service fees in the second quarter of 2026 to increase or remain roughly unchanged compared to the first quarter of 2026. Especially in the import/export trade and wholesale industry, more respondents expect goods prices to increase in the second quarter of 2026 compared to the first quarter of 2026. However, in the construction industry, a significant number of respondents expect bid prices to decrease in the second quarter of 2026 compared to the first quarter of 2026.