Hong Kong Economics and Telecommunications

Economics

Economy Overview: According to SOURCEMAKEUP, Hong Kong is a dynamic market economy heavily dependent on international trade. Natural resources are limited, food and raw materials must be imported. In fact, imports and exports, including re-exports, each exceed GDP in dollar terms. And before Hong Kong came under the control of China (July 1, 1997), they had extensive trade and investment ties. The level of GDP per capita is comparable to the level of GDP per capita in the four largest countries of Western Europe. GDP grew at an average of 5% per year during 1989-97. The aftermath of the Asian economic crisis in 1998 hit this trade-dependent economy hard enough that GDP fell by 5%. The economy quickly recovered, with 10% GDP growth in 2000 and a preliminary estimate of 5% in 2001.
GDP: at purchasing power parity – $181 billion (2000 est.).
Real GDP growth rate: 10% (1999 est.).
GDP per capita: Purchasing power parity – $25,400 (2000 est.).
The composition of GDP by sectors of the economy: agriculture: 0.1%; industry: 14.3%; services: 85.6% (1999 est.).
Proportion of the population below the poverty line: no data available.
Percentage distribution of household income or consumption: for the poorest 10% of households: n/a; by top 10% of households: no data.
Inflation rate at consumer prices: 3.7% (2000 est.).
Labor force: 3.39 million people (2000 est.).
Employment structure: wholesale and retail, restaurants and hotels 31.5%, utilities and social services 24%, finance, insurance and real estate 14.5%, transport and communications 11.6%, manufacturing 7.7%, construction 2.6 % (October 1999).
Unemployment rate: 4.5% (2000 est.).
Budget: revenues: $20.8 billion; expenditures: $24.5 billion, including capital expenditures – NA (FY99-2000).
Spheres of economy: production of fabrics, clothing, tourism, electronics, plastics, toys, watches.
Growth in industrial production: 2.1% (2000 est.).
Electricity generation: 27.726 billion kWh (1999)
Sources of electricity generation: fossil fuel: 100%; hydropower: 0%; nuclear fuel: 0%; other: 0% (1999).
Electricity consumption: 32.202 billion kWh (1999)
Export of electricity: 633 million kWh (1999).
Electricity import: 7.05 billion kWh (1999)
Agricultural products: fresh vegetables; Domestic bird.
Exports: $204 billion (including re-exports; free on board, 2000 est.)
Exports: clothing, textiles, footwear, electronic components, watches, toys.
Export partners: China 33%, USA 24%, Japan 5%, UK 4%, Germany, Singapore (1999).
Imports: $215 billion (free on board, 2000)
Import articles: foodstuffs, transport equipment, raw materials, semi-finished products, oil; a significant part is re-exported.
Import partners: China 44%, Japan 12%, USA 7%, Taiwan 7%, South Korea, Singapore (1999).
External debt: $48.1 billion (1999) Economic aid recipient: no.
Economic aid donor:
Currency: Hong Kong dollar.
Currency code: HKD.
Exchange rate: HKD/USD – 7.7990 (January 2001), 7.7912 (2000), 7.7575 (1999), 7.7453 (1998), 7.7421 (1997), 7.7343 (1996).
Fiscal year: April 1-March 31.

Telecommunications

Telecommunications Telephone lines: 3.839 million (1999).
Mobile cell phones: 3.7 million (December 1999)
Telephone system: modern communication system provides excellent domestic and international service; domestic: microwave burr communication system and extensive fiber optic network; international: satellite earth stations: 3 Intelsat (1 Pacific Ocean and 2 Indian Ocean); coaxial cable to Guangzhou (China); access to 5 international submarine cables providing communication with ASEAN countries, Japan, Taiwan, Australia, Middle East, Western Europe.
Broadcast stations: AM -7, FM -13, shortwave -0 (1998).
Radio receivers: 4.45 million (1997)
Television broadcast stations: 4 (and 2 repeaters) (1997).
Televisions: 1.84 million (1997)
Internet country code: hk
Internet service providers: 17 (2000).
Number of users: 1.85 million (2000).

Transport

Transport Railways: total: 34 km; standard gauge: 34 km (1.435 m gauge) (all electrified) (1996 est.).
Roads: total: 1,831 km; coated: 1,831 km; unpaved: 0 km (1997).
Ports and harbors: Hong Kong.
Merchant navy: total: 354 vessels (of 1,000 tons displacement and over) with a total displacement of 10,330,662 gross register tons / 17,227,315 long tons of gross tonnage; different types of ships: barges – 1, bulk carriers – 208, cargo ships – 36, chemical tankers – 7, combination carriers – 2, container ships – 59, liquefied gas tankers – 6, multipurpose heavy cargo ships – 2, oil tankers – 26, refrigerators -3; coastal passenger ships – 1, cargo ships for transportation – 3; note: including foreign vessels registered here for ‘flag of convenience’ reasons: Bermuda 2, Belgium 1, Canada 2, China 9, Japan 3, Mongolia 1, Norway 1, South Africa 1, UK 7 (2000 est.).
Airports: 3 (2000 est.).
Airports with paved runways: total: 3; over 3,047 m: 2; from 1524 to 2437 m: 1 (2000 est.). Helipads: 2 (2000 est.).
Airports with unpaved runways:

Armed Forces

Branches of the armed forces: the Hong Kong garrison of the People’s Liberation Army of China, including parts of the ground forces, the Navy, the Air Force; these forces are directly subordinate to the Central Military Council of the People’s Republic of China in Beijing and directly subordinate to the adjacent military region of Guangzhou.
Enlistment age: 18 years old.
Total Military Manpower: Male 15 to 49: 2,020,937 (2001 est.).
Eligible for military service: men aged 15 to 49: 1,520,531 (2001 est.).
Number of persons reaching military age each year: male: 47,139 (2001 est.).
Military spending in dollar terms: no data available; note – there is no separate military budget for Hong Kong.
Military spending as part of GDP: no data.

International Issues

International issues International disputes: no.
Illicit drugs: Southeast Asian heroin and stimulant trafficking hub and locally produced; transshipment point and money laundering center; growing local consumption of amphetamines.