Construction sector boosts Job growth
According to a research note from UBS, investment in Hong Kong’s infrastructure should increase despite the fact that fixed rate investment actually contracted 5.6% Year on Year. It expects the driver of investment to transit from the cyclical forces to structural forces,
with construction investment being boosted by a strong pipeline of infrastructure investment and the government’s commitment to increasing the housing supply.
The report also noted that investment is a key driver of employment and growth, particularly in the buoyant construction sector which is still creating jobs even though real growth in the labor market almost hit 0%.