Strong growth: Net output in transport, storage and communications grew 13.2% in real terms in the fourth quarter.

Hong Kong's gross domestic product rose 7.6% in real terms in the fourth quarter over a year earlier, compared with the 8.3% growth in the previous quarter, the Census & Statistics Department says. For 2005 as a whole, GDP grew 7.3% in real terms over 2004.

Analysed by constituent sector and on a year-on-year comparison, net output in all the service sectors taken together rose 7.8% in real terms in the fourth quarter over a year earlier. For 2005 as a whole, there was a rise of 8%.    

Net output in the wholesale, retail and import and export trades, restaurants and hotels grew 11.1% in real terms in the fourth quarter, similar to the 11% increase in the third quarter. For 2005 as a whole, it rose 11.2%. Continued increase in external trade, solid growth in local consumer demand and further vibrancy in inbound tourism all contributed to the growth. 

Net output in transport, storage and communications grew 13.2% in real terms in the fourth quarter, after a 15.3% rise in the third quarter. For 2005 as a whole, it went up by 13.4%. The buoyancy in merchandise trade flows underpinned the strong growth in the transport and storage services.    

Financing output rises

Net output in financing, insurance, real estate and business services rose 7.3% in real terms in the fourth quarter. For 2005 as a whole, it increased 8.7%. This was partly attributable to continued growth in banking services on the back of an increase in commissions and service income. 

Net output in community, social and personal services increased by 1.5% in real terms in the fourth quarter, following a 1.1% rise in the third quarter. For 2005 as a whole, it grew 0.9%.

Net output in the local manufacturing sector increased further, by 5.9% in real terms in the fourth quarter, after an increase of 4.1% in the third quarter. For 2005 as a whole, it rose 2.1%.

Construction sector output drops

Net output in the construction sector dropped 14.7% in real terms in the fourth quarter, following a decrease of 5.5% in the third quarter. For 2005 as a whole, it dropped 7.2% in real terms. The decline was mainly due to the earlier scale-back of the Public Housing Programme as well as relatively few large scale building and infrastructure projects in progress.