The Hong Kong Special Administrative Region (SAR)'s healthy labor market and supportive fiscal policy helped its domestic economy's resilience, while its gross domestic product (GDP) growth was marginally slow owing to its weak external environment. Its fiscal policy has been effective in...

KEY ISSUES Outlook and risks. The macroeconomic outlook is favorable. Growth has firmed, inflation has eased, and unemployment has remained low—trends that are expected to continue. The main risks relate to the impact of the Fed’s tapering, the outlook for the Mainland, and a possible...