Hong Kong's economy slows to record pace due to protests

Hong Kong's GDP growth has slowed to a record low: in the second quarter, the indicator grew by only 0.6%, which is much worse than forecasts (1.6%), according to the Hong Kong authorities . The slowdown in the region's economy was caused by the political crisis, the trade war between China and the United States, as well as the ongoing mass protests, which especially damaged retail and tourism.

• The observed growth rate is the worst in a decade. For the second quarter, exports decreased by 5.4%, imports - by 7%.
• The Hong Kong regulator today, following the US, lowered the main rate by 25 bp. up to 2.5%.
• Hong Kong chief executive Carrie Lam said this week that political "uncertainties" are hampering the autonomous region's development. She promised to make every effort to combat anti-government speeches: because of them, "there is no room for optimism regarding the results of the second quarter and the year as a whole."
• Massive protests against the law on extradition to mainland China have been taking place in Hong Kong since June. The organizers of the actions say that up to 430 thousand people took to the streets at the same time.