Economics
Hong Kong Pushes $18 Billion Stimulus to Avoid ‘Massive Layoffs’
- City’s budget deficit now seen almost double previous estimate
- Package features wage subsidy plan worth HK$80 billion
Pedestrians walk along the near deserted Lan Kwai Fong at night in the Central district of Hong Kong, China, on Saturday, March 28, 2020.
Photographer: Paul Yeung/BloombergThis article is for subscribers only.
Hong Kong Chief Executive Carrie Lam announced a fresh stimulus package worth about HK$137.5 billion ($17.7 billion) to support the city’s deteriorating economy amid the coronavirus outbreak, with a main focus on job retention.
The spending package will include an HK$80 billion job security program to subsidize 50% of wages for affected workers for six months, Lam said in a press conference Wednesday evening. Lam and other key officials will reduce their salaries by 10% for one year.