formation posted accelerated growth of 4.3% in real terms in 2025, following the Expenditure on acquisitions of machinery, equipment and intellectual property products rose sharply by 24.7%, with private sector spending showing particularly strong growth. increased markedly by 38.9% as the number of property transactions bounced back strongly. These more than offset the weak performance in the expenditure on building and construction, which turned to a decline of 9.4%. Meanwhile, (See Box 1.1 on business sentiment in Hong Kong).