The Hong Kong Deposit Protection Board (DPB) announced today (Nov. 26) the results of this year's "Savings Security Index" survey for Hong Kong residents.
The findings indicate that the average monthly savings amount for residents this year is HK$9,800, an increase of nearly 10% (8.89%) compared to last year, marking the highest figure since the survey began.
The survey was conducted from August 23 to October 7, interviewing 1,001 residents aged 18 and above. Among all respondents, 40% reported average monthly savings of HK$10,000 or more, an increase of 6% from last year. Given the average monthly income in Hong Kong is HK$22,000, the savings rate stands at an impressive 45%, indicating a decrease in the proportion of income spent on consumption.
Dr. Zheng Wan-tai, Associate Director (Executive) of the Hong Kong Institute of Asia-Pacific Studies (HKIAPS), CUHK, noted that the public still has concerns about the economy, making it difficult to stimulate consumption, and that post-pandemic spending has not rebounded rapidly. However, the increase in savings reflects a rise in residents' income, which is overall positive.
The survey also revealed that this year, Hong Kong residents believe they need an average of HK$1.03 million in savings or liquid assets to achieve sufficient "security", a slight decrease from last year's HK$1.08 million. Over 67% of respondents have saving habits, similar to last year.
Additionally, nearly 80% of respondents continue to save through bank savings accounts, both current and fixed deposits, an increase of nearly 5% from last year.
Regarding pre-retirees and their retirement savings, the survey found that over 80% of pre-retirees have saving habits, showing a significant increase of about 10% since 2019. The average monthly savings amount for this group is HK$9,600, a slight decrease of 3% from HK$9,900 in 2019.
Respondents who are pre-retirees indicated that they believe an average of HK$5.45 million in savings is necessary for sufficient "security". The average planned retirement age among pre-retirees is 64 years, with 36% planning to retire between the ages of 65 and 69. If their savings are insufficient, these pre-retirees tend to maintain their living standards through part-time work, cutting expenses, and delaying retirement.
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