Modern Australian

HKDPB announces key findings of "Hongkongers’ Sense of Security on Savings" Survey for the seventh consecutive year

Hongkongers’ average monthly savings soar to HK$9,800, while pre-retirees need HK$5.45 million to retire with sufficient “sense of security”

HONG KONG SAR - Media OutReach Newswire - 26 November 2024 - The Hong Kong Deposit Protection Board (HKDPB) has conducted its "Hongkongers' Sense of Security on Savings" survey for the seventh consecutive year.

According to the survey results of this year, the average monthly savings of Hongkongers have surged to HK$9,800, marking a nearly 10% growth from the last year, and setting a new record since the survey began. 40% of respondents reported saving an average of HK$10,000 or more each month, up 6 percentage points from last year. Additionally, 67% of respondents indicated that they have a habit of saving, which is similar to last year's result. Given the bank deposit interest rates remaining high and the uncertainties of prevailing investment and market, nearly 80% of respondents save through by bank deposits or time deposits, approximately 5 percentage points higher than last year.

Ms Connie Lau Yin-hing, SBS, JP, Chairman of HKDPB (left) and Dr Victor Zheng Wan-tai, Associate Director (Executive), Hong Kong Institute of Asia-Pacific Studies, CUHK (right) announce the findings of the “Hongkongers’ Sense of Security on Savings 2024” survey.
Ms Connie Lau Yin-hing, SBS, JP, Chairman of HKDPB (left) and Dr Victor Zheng Wan-tai, Associate Director (Executive), Hong Kong Institute of Asia-Pacific Studies, CUHK (right) announce the findings of the “Hongkongers’ Sense of Security on Savings 2024” survey.

Close to 20% of respondents with a saving habits have set a yearly savings target of HK$307,000 on average, the highest amount since the inception of the survey, representing a dramatic increase of 68% from last year. Among those who have a saving target, two-thirds are confident in meeting their targets, while 40% of respondents indicated that their savings were intended for "unexpected needs" (39%), followed by "preparing for retirement" (26%).

According to the survey results, Hongkonger's "sense of security" on savings is similar to last year, where the "sense of security" provided by their current savings is standing at 53.5 marks. Close to 75% of respondents rated their "sense of security" on savings at 50 marks or above, similar to last year, with 17% of respondents rated 80 marks or above, an increase of 3 percentage points from the previous year. The survey also shows that, to maintain the current living standard for one year, Hongkongers generally need an average of HK$1.03 million to gain sufficient "sense of security", a slight fall of around 5% compared to last year.

Significant increase in savings among pre-retirees

Pursuing the study results in 2019, this year's survey once again conducted an in-depth poll to analyse changes in savings habits among pre-retirees (working individuals aged 50 to 65). The results for this year show that the proportion of pre-retirees with saving habits has risen to over 80% a notable increase of about 10 percentage points from 2019. The average monthly savings of pre-retirees of this year is HK$9,600, a slight drop of 3 percentage points from HK$9,900 in 2019. Pre-retirees perceive they need an average of HK$5.45 million in savings to gain a sufficient "sense of security" for retirement. Among the respondents, the most common way to save for retirement is through bank savings (57%), followed by investing in financial products (30%). However, with the persistent increase in living costs and in case of insufficient savings, interviewed pre-retirees indicated they would likely to have "part-time work" (34%), "reduce expenses" (17%), and "delay retirement" (17%) to maintain a stable living.

The survey also reveals that pre-retirees planned to retire at an average age of 64, and good health (79%), sufficient savings (43%) and a stable residence (28%) are the top three contributors to their "sense of security" for retirement.

Hongkongers step up their saving efforts

Ms Connie Lau Yin-hing, SBS, JP, Chairman of HKDPB, said, "This year's survey was conducted in an environment where global interest rates remain relatively high, and Hongkongers prefer bank deposits as their primary saving method. At the same time, we are pleased to see an overall increase in both the 'average monthly saving amount' and the 'yearly saving target amount' among the general public, particularly as the average yearly saving target amount has exceeded HK$300,000, reflecting a remarkable surge of 68% compared to that of last year. This demonstrates a heightened awareness among Hongkongers of the importance of setting money aside for a rainy day."

Ms Lau added, "Hong Kong is facing an aging population, and Hongkongers are experiencing greater longevity. Many Hongkongers are expressing the need to save for retirement, and are making plans for the next chapter of their lives. This year's survey has once again focused on pre-retirees and found that among working respondents aged 50 to 65, the proportion of those with plans for the future has significantly increased. The number of respondents with saving habits has also risen by about 10 percentage points since 2019, which is very encouraging. We are delighted with the result and will continue to promote the importance of saving and financial education to the general public through extensive outreach and community education efforts. The Deposit Protection Scheme will continue to provide statutory protection for everyone's bank deposits, and contribute to maintaining the stability of Hong Kong's banking system and enhance public confidence in it."

Other highlights of the survey results
:

  • 34% of respondents aged 18 to 29 have set a saving target for the year, which is the highest among all age groups, indicating that young people are committed to saving.
  • Respondents aged 30 to 39 top the list with nearly 87% have saving habits, the highest among all age groups. They save HK$12,600 on average per month, 30% higher than the general public. With 55.5 marks for the "sense of security" on savings, they rank second among all age groups.
  • 78% of respondents aged 40 to 49 are regular savers, rank second among all age groups. Meanwhile, they perceive a savings of HK$1.39 million is required for a sufficient "sense of security", which topped all age groups. It is believed that the people in this age group have relatively heavier family burdens, and thus requiring more savings for peace of mind.
Based on returns submitted by members, the aggregate amount of relevant bank deposits held with members of the Deposit Protection Scheme (DPS), i.e., licensed banks in Hong Kong, was HK$ 2,585 billion in 2023. All depositors are protected by the DPS, and according to the statistics, the eligible deposits of about 90% of the depositors are fully covered.

From 23 August to 7 October 2024, the Hong Kong Institute of Asia-Pacific Studies (HKIAPS) randomly selected and polled a total of 1,001 Hongkongers aged 18 or above across the city by telephone and then carried out a more in-depth survey with a total of 323 pre-retirees.

Hashtag: #HKDPB

The issuer is solely responsible for the content of this announcement.

About Hong Kong Deposit Protection Board

The Hong Kong Deposit Protection Board is a statutory body established under the Deposit Protection Scheme Ordinance to oversee the operations of the Deposit Protection Scheme. The objectives of the Scheme are to protect depositors and to help maintain the stability of Hong Kong's banking system. ()

Setting Up the Perfect Home Studio for Drummers

Creating the perfect home studio for drumming is a fulfilling project that goes beyond just having a space to practice. A well-designed studio can a...

Essential Guide to Surveying Services for Land and Construction

Surveying is indispensable in all land development, real estate transactions, and construction. The core of surveys, including metric geodetic and pre...

A Step in the Right Direction: Choosing the Best Nursing Shoes and Socks for Australian Healthcare Workers

Australian healthcare professionals need to work long hours for the people. They have to be on their feet in demanding situations. So, it will be ne...

Understanding Modern Art Movements – Surrealism, Cubism, and Beyond

Modern art movements have always challenged conventions, pushing the boundaries of creativity and expression. From the fragmented perspectives of Cu...

10 Classic Dumpling Recipes to Try at Home

Dumplings are a universal delight, found in cuisines across the globe. From delicate folds to rich fillings, these versatile creations bring people ...

10 Essential Strategies for Effective Branded Advertising Campaigns

In the fast-paced world of marketing, creating an impactful branded advertising campaign is key to standing out and forging meaningful connections w...

The Evolution of Real Estate Software – From Basic Tools to Advanced AI

The real estate industry has undergone a seismic shift over the past few decades, with technological advancements playing a pivotal role in transfor...

What is RPL in Australia?

RPL is Recognised Prior Learning and refers to skills you already have that can be credited for further study or learning. For example, previous c...

Why 1/4 Zip Jumper Is Trending

The 1/4 zip jumper becomes the new status symbol. Yes, people like them. So, they are in demand nowadays. These jumpers are simple garments with a z...

The Complete Guide to Downsizing Your Home

Making the decision to downsize your home is a significant life change that can feel overwhelming at first. Whether you're empty nesters looking to si...

Why Gym Classes in Wollongong Are Perfect for Fitness Enthusiasts

Wollongong gym programmes offer a variety of training options catered to different ages, fitness levels and individual objectives. To support you...

Mass Management: Understanding Its Importance in Heavy Vehicle Operations

Mass management might sound like a technical term, but it really just means making sure your vehicle doesn’t weigh too much, and that the weight i...

Driveree App Expands into Food Delivery with Exciting Discounts and Growth Plans

Victoria, 15 Nov 2024 – Driveree, the innovative app transforming food delivery services in Geelong, Victoria, is now making waves across the coun...

Choosing Affordable Office Cleaning Services with Flexible Contracts

Maintaining a clean work environment is essential not only to the morale and productivity of the employees but also for cost reasons, since cleani...

Tips for Managing Business Funds in High-Interest Accounts

For entrepreneurs, astute fund management extends beyond survival alone—it fuels expansion and ensures ongoing viability. A shrewd tactic involves...

Understanding Regulations and Requirements for Building a Granny Flat

Constructing a granny flat entails understanding and complying with regulations that may differ depending on the area you're, in Here is a breakdown...

Top-Rated Criminal Lawyers in Brisbane: Securing Legal Defence and Justice

Navigating the legal landscape, particularly in criminal defence, is an intricate journey that demands experience, expertise, and a deep commitment ...

Innovative Solar Conduit Solutions: Why Solarflex Stands Out

When it comes to solar installations, efficiency, safety, and regulatory compliance are essential — particularly when tight schedules and diverse en...