Hong Kong ushered in the new year on January 1, 2025, with joyous celebrations marked by the arrival of its first babies. The initial birth welcomed by the city was a baby boy born at Prince of Wales Hospital at the stroke of midnight. He weighed 3.375 kilograms and was born at exactly 12:07 AM, with both mother and child reported to be healthy. Shortly after, another boy, weighing 3.56 kilograms, followed his elder counterpart at Princess Margaret Hospital five minutes later. Two baby girls were also born, one at around 1 AM at Princess Margaret Hospital and the other at 2 AM at the same institution.
Meanwhile, the property market shows promising signs of recovery as 2024 closed with significant transactions. According to Midland Realty, property transactions totaled 67,662, valued at US$68.2 billion. This figure marks the highest volume of deals since 2021 and is indicative of improving sentiment associated with factors such as enhanced loan values, interest-rate cuts, and renewed demand following the investment-migration scheme. Buggle Lau Ka-fai, chief analyst at Midland, noted, “With the rebound in the number of deals, the overall registered property value last year exceeded HK$530 billion, reflecting over 10 percent growth from 2023.”
While the real estate sector appears to be on the rise, overall transactions for 2024 lagged behind the five-year average. Lau indicated the challenges, observing, “The increase, though notable, was 6 percent lower than the annual average from 2019 to 2023.” Nonetheless, the residential market led the increase, signaling potential revitalization.
The start of 2025 also opens new chapters for Hong Kong's political and economic relations with the United States. Experts predict significant shifts under the anticipated Trump Administration. Human rights concerns are expected to take a back seat, with increased scrutiny expected on Hong Kong’s financial services. Despite these prospects, experts believe drastic actions like unpegging the Hong Kong dollar from the US dollar are unlikely, citing substantial resistance against such measures.
All eyes are on Trump as he prepares to take office for his second term on January 20, 2025. Analysts are particularly interested to see how he may exert pressure on mainland China and Hong Kong, especially with key personnel known for their tough stance on Chinese relations. The prospect of increased tariffs on goods manufactured in China looms large as Trump previously hinted at imposing 60 percent tariffs on imported items.
Chief Executive John Lee has also emphasized the need for Hong Kong to embrace upcoming changes. Speaking on the new year, he remarked the importance of proactive adaptation to the challenges facing the city. “Hong Kong will have to embrace changes and take initiatives to align with mainland China’s strategic development,” Lee expressed. He announced plans for the Hetao Shenzhen-Hong Kong Science and Technology Innovation Co-operation Zone aimed at transforming Hong Kong’s economic profile and enhancing its status as an international technology and innovation hub.
Lee’s statements reflect the administration's intent to boost integration with mainland China and explore new markets. He mentioned the park is set to begin operations this year, aiming to attract talent and create new economic opportunities.
The developments across various sectors indicate not only the celebration of life as demonstrated by the first births of 2025 but also the atmosphere of cautious optimism in Hong Kong's economic and political domains. The positive momentum as the year progresses reflects resilience and adaptability, key components the city will need as it faces both local and international challenges.