Daily US Times, Hong Kong: Hong Kong will hand out cash to every adult permanent residents in an attempt to help boost spending and ease the financial burden.
The city authorities announced HK$10,000 ($1,280; £985) for about seven million people over the age of 18, as part of the annual budget.
The city has been suffering economically by months of violent political unrest, and more recently from the impact of the coronavirus.
Hong Kong has reported 81 coronavirus cases so far with two deaths.
The territory’s year Financial Secretary Paul Chan said its economy is facing enormous challenges this year.
Mr. Chan said: “After careful consideration, I have decided to disburse HK$10,000 to Hong Kong permanent residents aged 18 or above, with a view to encouraging and boosting local consumption on the one hand, and relieving people’s financial burden on the other.”
The cash give-out is part of a HK$120bn relief package to ease the impact of the protests and virus on the economy.
There are other steps taken to tackle the economic situation like lowering public housing rent and there will be rebates in salary and property taxes.
By 2021, the budget deficit is projected to rise to nearly $18bn, which will be a record high.
Hong Kong had previously announced relief funds for sectors that have suffered most because of the coronavirus outbreak. The relief funds included cash handouts for businesses like restaurants and travel operations.
Before the coronavirus outbreak, the territory’s economy has been suffering from months of political unrest which has seen pro-democracy activists in often violent clashes with the police. The outbreak is a huge blow to the tourism sector.
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