Comment: In the past, Glory has not yet been worked in Hong Kong

Source: Bloomberg

Since its reopening this year, Hong Kong has been working hard to restore the charm of being a global retail paradise, but the effect is not significant, highlighting the impact of closedness on the local economy for several years.

The number of tourists cannot be compared with before 2019. The number of visitors in June was 42%lower than the same month in the same month in 2018.As a result, consumer expenditure was weak.Retail sales of the month were the lowest level of the month since 2011 (eliminating data from 2019-2022).

The gap between the situation a few years ago was obvious. At that time, more and more tourists in China rushed to the streets of Hong Kong to buy various luxury goods.The total number of visitors in 2018 totaled 65 million, an increase of 11%over the previous year, making Hong Kong among the world's most popular tourist destinations.That year, the crown of the world's most expensive retail neighborhood fell on Hong Kong, and multinational brands competed here to compete. However, it is not the past.

Hong Kong's charm as a shopping center is not as good as before. This is one of the challenges that Hong Kong tries to revitalize the economic and global image.In addition, with the shrinking of the transaction, the once -vibrant financial sector is cutting their posts; the rent price of office buildings has dropped greatly, and some companies switch to Singapore.US sanctions means that the Chief Executive Li Jiachao cannot go to many Western countries to promote relations.

Even if the number of mainland tourists has increased significantly, they are unlikely to spend money as before.House prices in the Mainland plummeted and rising youth unemployment rates have been targeted at consumer confidence, and their economic prospects lack glory.

Huang Jiahe, president of the Hong Kong Catering Association, said that many mainland tourists now prefer local cafes and restaurants, and refuse to pay for high -end food and luxury goods.

He said that before the epidemic, they spent about HK $ 500 (about S $ 86) on their diet every day, and now there are only half a little.

Today is not the same as before

Local media reports that the recent rent in the Tsim Sha Tsui tourist area is 70%lower than Burberry's rent paid in 2014, which is really time to change.The latest tenant is a Chinese jewelry brand.

Natixis senior economist Gary Ng said that people are looking for experiences other than shopping. Buying things may be old way for Hong Kong.

Weak passenger consumption may put pressure on the local economy. After the rebound in the first quarter, the local economy showed signs of tension.The government has lowered its growth target range in 2023 this month, and stated that the tourism industry and private consumption will still be the main driving force for economic growth for the rest of this year.

Brugar research senior researcher Alicia Garcia-Herrero said, "Unless tourists return to the level before 2019, Hong Kong's growth will slow down in the second half of the year."

The government has launched a series of activities this year to attract tourists and repair the image of the city, including "Hello, Hong Kong!" Tourism promotion activities, gift tickets, invited movie stars and celebrities to Hong Kong.Chen Maobo, the director of the Financial Secretary, recently stated in his blog that Hong Kong needs to improve its competitiveness and attract tourists, and say that more activities will be launched, such as night markets and exhibitions.

The restrictions of the aviation industry may also limit the arrival of visitors.In terms of international passenger transport volume in Hong Kong, it was once the third busy airport in the world. Now it is only 60%before the epidemic, mainly due to the shortage of manpower.The hotel has not returned to the service level before the outbreak.Xu Yingwei, executive director of the Hong Kong Hotel Ownership Federation, said that transportation and logistics capabilities have greatly affected how many tourists can come to Hong Kong to spend the night.

Insufficient visitors are on the one hand, and Hong Kong people have no rejuvenation.On the contrary, they choose to go to the Mainland with cheaper products and services, and the depreciation of the RMB is a factor.According to data from the Hong Kong Government Statistics Office, about 5 million Hong Kong people went to the Mainland in June, about 80%of the same period in 2018.Crystal Chan is a 22 -year -old college student who has been to Shenzhen five times in the past three months and said that there is nothing to buy in Hong Kong.

Even Hong Kong's world -famous nightlife has been affected.Qian Junong, chairman of the Hong Kong Bar Industry Association, said that the monthly income of the bars in the Hong Kong business district is 70%before the epidemic.CLIFF Wong, a local university employee, said he used to go to the bar with his friends to drink with his friends.As many friends leave Hong Kong due to the epidemic and politics, he can't go once a week on average.