Record Year for Tourism in Hong Kong.

HONG KONG--(BUSINESS WIRE)--Feb. 6, 1995--Hong Kong welcomed a record number of visitors in 1994. Final figures released by the Hong Kong Tourist Association (HKTA) show that arrivals in Hong Kong reached 9.3 million in 1994, reflecting an increase of 4.4 percent over the previous year.

For

"International" visitor arrivals (i.e. those from all other countries) grew by 2.5 percent to 7.4 million. (In the month of December alone, however, total visitor arrivals rose by 10.9 percent to 900,340. "International" visitor arrivals rose by 4.3 percent to 690,936.)

Visitor arrivals from Taiwan in 1994 were down by 6.3 percent to 1.7 million, or 17.8 percent of the total. The December figure, however, showed a 4.0 percent rise, the first such increase in 10 months. The Taiwan market is still recovering from the ban imposed in March 1994 on group tours to the mainland; many would have been routed via Hong Kong.

Japan, however, has rebounded strongly over the past 18 months, reflecting its recovery from a period of economic recession. Visitor arrivals from this market in 1994 numbered some 1.4 million, or 15.4 percent of the total and reflecting an increase of 12.5 percent over 1993.

After annual steady increases since 1990, Southeast Asia showed a decline in visitor arrivals last year of 3.4 percent to 1.2 million, or 12.8 percent of the total. Figures for December alone, however, showed an encouraging increase of 2.7 percent. Reasons for the slight annual decline in arrivals from this regional market include the fact that its residents are enjoying greater wealth and expanding their travel horizons. In addition, increased marketing competition from other Asian destinations and extended air services from Asian markets into China mean that Hong Kong is experiencing a reduction in the proportion of its previous Southeast Asian business.

Western European markets showed encouraging growth in 1994, a sign of the economic recovery now underway. Visitor arrivals for West Europe as a whole numbered some 1.1 million or 12.1 percent of the total, registering an increase of 7.6 percent over the 1993 figure.

Visitor arrivals form the U.S.A./Canada also rose slightly (1.7 percent) to 1 million and 10.3 percent of the total, while those from Australia and New Zealand showed a similar increase (1.2 percent) to reach 316,000 and 3.4 percent of the total.

The biggest percentage increase in visitor arrivals in 1994 was shown by South Korea, which grew by 25.5 percent. The total number of arrivals reached 280,000 or 3.0 percent of the total, and reflects the current excellent economic situation in the country.

Commenting on the figures, Amy Chan, executive director of the HKTA, said, "We are particularly pleased to note the recovery of Japan and see the steady increase in arrivals from our long-haul markets, which will remain significant sources of visitors for Hong Kong in the coming years.

"Although the financial data are not yet available, it is likely that tourism receipts in 1994 will ensure that the tourism industry consolidates its role as second-largest earner of foreign exchange for Hong Kong."

The HKTA is optimistic that there will be a further increase, of 3-5 percent, in total visitor arrivals for 1995.

CONTACT: Hong Kong Tourist Association

Mary Bakht/Diana Budiman

212/840-1690