Hong Kong Supports Virus-Hit Economy With Free Money
Residents of Hong Kong receive almost 1200 euros per person from the government. The measure is part of a package of incentive measures. They must support the economy affected by the coronavirus.
Macau and Singapore announced similar measures.
The Hong Kong government hopes to boost consumer spending by donating 10,000 Hong Kong dollars to every adult, permanent resident.
Almost two million residents do not have to pay income tax, and companies can take out loans of up to 2 million Hong Kong dollars at low-interest rates.
Partly as a result of these measures, Hong Kong has a budget deficit for the first time in fifteen years. The Hong Kong economy is not only under pressure due to the outbreak of the coronavirus but also because of the social unrest in recent months.
In Macau, a particular administrative region of China, just like Hong Kong, the government announced that 252 million euros in vouchers (around 350 euros per inhabitant) would be pumped into the economy once the virus outbreak was over.
Singapore announced that every resident aged 21 or over would receive between € 65 and € 200. The government mainly wants to support families now that economic growth is declining.