4th February 2026 – (Hong Kong) Hong Kong’s private sector economy maintained its momentum at the start of the year, with business conditions improving for a sixth month in a row. The headline Purchasing Managers’ Index (PMI), compiled by S&P Global, rose to 52.3 in January from 51.9 in December, signalling a quicker rate of expansion.
The latest data revealed a marked increase in new orders, with the pace of growth registering as the second-fastest since May 2023. A key driver was a significant improvement in external demand, as new export orders expanded at their quickest rate in nearly three years. This broadening sales growth spurred business activity, led by the services sector, and prompted companies to engage in more active purchasing to rebuild inventories.
Despite the positive output and demand indicators, business sentiment regarding the year-ahead outlook remained subdued. Surveyed firms continued to cite intense market competition and concerns over US trade policy as factors weighing on their confidence. Employment levels dipped slightly for the second month running, as some firms opted not to replace departing staff, leading to a faster accumulation of unfinished work.
Usamah Bhatti, an economist at S&P Global Market Intelligence, noted that the uptick in the PMI was “slightly stronger than at the end of 2025,” supported by rising new orders. He highlighted the rapid expansion in new export work as a particular positive but cautioned that the overall business expectations index showed companies “were not optimistic about the year ahead.”
, compiled by S&P Global, rose to 52.3 in January from 51.9 in December, signalling a quicker rate of expansion.){kind=link}