Hong Kong's Budget Strategy: Navigating Economic Headwinds

Hong Kong plans a 7% cut in public recurrent expenditure by 2027/28 to address a growing deficit amidst global economic challenges, a sluggish property market, and geopolitical issues. Financial Secretary Paul Chan announces this strategy as a roadmap towards achieving fiscal balance progressively.

Hong Kong is set to cut its public recurrent expenditure by 7% by the 2027/28 fiscal year in a bid to tackle a burgeoning deficit. This move aims to navigate various economic challenges such as global uncertainties, a faltering property market, and heightened geopolitical tensions.

Financial Secretary Paul Chan introduced this strategic measure as part of the city's annual budget announcement. By outlining a clear pathway, Chan seeks to restore fiscal equilibrium in a systematic and forward-planning manner.

The focus now lies on implementing these cuts effectively to ensure Hong Kong remains resilient in the face of these multifaceted economic headwinds.

(With inputs from agencies.)