Hong Kong and the mainland’s intertwined economies

Caixin Global has a series of charts taking a deeper look at how intertwined Hong Kong’s economy is with the mainland. They are well worth a look. Highlights:

  • Hong Kong’s plateauing investment in mainland 

In the first seven months of 2019, $55.37 billion of inbound direct investment in the mainland came from Hong Kong (including investment via free ports such as the Cayman Islands, Mauritius and Barbados), accounting for 70.27% of the total.  

  • Most inbound investment to China comes via Hong Kong 

The value of direct investment from Hong Kong in the mainland in 2018 was $89.9 billion — excluding investment through free ports — which was way more than investment from anywhere else. 

  • Most outbound investment flows through Hong Kong 

In 2017, $91.2 billion of the mainland’s outbound direct investment flowed into Hong Kong, making it the most important destination for mainland capital. Britain’s Virgin Islands ranked second, attracting $19.3 billion. 

  • Most tourists to Hong Kong come from the mainland 

In the first half of 2019, 27.6 million mainland tourists visited Hong Kong, accounting for nearly 80% of tourists to the city. Last year the number of mainland tourists to Hong Kong exceeded 50 million, a record high. 

  • Fewer mainland migrants to Hong Kong 

In 2017, the number of mainland migrants to Hong Kong was about 47,000, down 10,400 from the previous year. 

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