Advertisement

HK$59.5b surplus for first nine months

Reading Time:1 minute
Why you can trust SCMP

The government yesterday declared a HK$59.5 billion budget surplus for the first nine months of this financial year, far exceeding last February's full-year budget prediction of a HK$3.9 billion surplus.

The news came a day before Financial Secretary John Tsang Chun-wah's final budget speech today.

Tsang's record in underestimating the government's fiscal performance is likely to continue, as Raymond So Wai-man, dean of the business school at Hang Seng Management College, said the full-year surplus could reach HK$80 billion.

Advertisement

For the previous fiscal year, the government had forecast a HK$25.2 billion deficit. But it turned out to be a HK$75.1 billion surplus instead.

Accounting firms such as Deloitte, Ernst & Young and PricewaterhouseCoopers have predicted that this fiscal year's surplus would range between HK$53 billion and HK$60 billion.

Advertisement

They said higher-than-expected income from land sales and additional stamp duties from the property market and stock deals in the first half of the financial year contributed to the surplus.

Advertisement
Select Voice
Choose your listening speed
Get through articles 2x faster
1.25x
250 WPM
Slow
Average
Fast
1.25x