HONG KONG’S economy proved more resilient than expected in the third quarter, despite the Chinese mainland’s slowdown and weaker retail sales as fewer tourists streamed across the border on shopping sprees.

    As an open economy on the Chinese mainland’s doorstep, Hong Kong is vulnerable to headwinds that now include a slowdown in the world’s second-largest economy and broader uncertainty over U.S. monetary policy, due to the city’s currency peg to the dollar.

    The financial hub’s economy grew a seasonally adjusted 0.9 percent quarter on quarter in the three months to September, government data showed Friday, picking up from a 0.4 percent pace in the second quarter and 0.7 percent in the first quarter.

    From a year earlier, the economy expanded 2.3 percent in the third quarter. Four economists surveyed by Reuters estimated the economy would grow 0.4 percent in the third quarter from the second, and 1.8 percent from a year earlier.

    The government said the outlook for merchandise exports was “bleak,” while inbound tourist number would remain weak, putting pressure on retailers with possible job losses.

    “I can’t be overly optimistic,” said Helen Chan, a government economist, when asked about economic growth next year. “Going forward, there are many uncertain factors.”

    (SD-Agencies)