Report finds that potential recession could have minimal impact on Hawaiʻi
With all of the buzz around the probability of a soon recession, economists are saying that the effects of the nationwide downfall will be minimal on Hawaiʻi.
The Department of Business, Economic Development and Tourism has released its 4th quarter 2022 reports, which showed that Hawaiʻi’s financial recovery from the pandemic remains strong. The report shows that the local economy will continue to grow through 2023 — although at a slower rate.
Additionally, tourism has mostly recovered to pre-pandemic levels, with visitor spending this year at 95% of the 2019 level.
This year, the state saw 13.8% more U.S. visitors compared to 2019. International visitors have recovered by about 60%.
Visitor arrivals to Maui, Kauaʻi and Hawaiʻi islands have recovered over 95% during the first 10 months of 2022 while Oʻahu’s recovery was below 80%. This can be contributed to the fact that half of Oʻahu's visitors are international.
DEBT reports that unemployment is currently at 4%, down from 6% last year. Non-agriculture payroll jobs are forecast to increase by 4.3% in 2022.
The data says that Honolulu's consumer prices continue to rise, but at a slower rate. Inflation was up by 7.5% in March, and was down to 6.6% in September.
The state's economic growth is expected to slow down by nearly 2% next year due to the expected global recession.
For the full report, click here.