Hong Kong will give more handouts to all adults to support the global financial hub in its recovery from Covid-19 pandemic.
Financial Secretary Paul Chan announced on Wednesday in the 2023/24 budget that the hub will issue vouchers worth HK$5,000 ($637) per person to all adults this year. Still, the amount was half of what had been issued in 2022 as Hong Kong tries to dial down fiscal spending.
Chan noted that the city was at the beginning of an economic recovery and no longer limited by stringent Covid-19 measures that isolated it from the world. He believed that Hong Kong’s economy will visibly recover this year.
He also flagged a salary tax cut by 100%, capped at HK$6,000, which is lower than the cap set for the previous budget.
Hong Kong’s economy is expected to grow 3.5%-5.5% this year after a contraction of 3.5% in 2022.
