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The International Monetary Fund raised its forecasts for economic growth in Hong Kong as it is forecasted to contract 2% this year before it expands 5% in 2010. Hong Kong's economy showed signs of recovery as it was backed by improvements in China, in addition to the government's stimulus spending.
The International Monetary Fund recommended that Hong Kong should continue its stimulus measures through 2010 as recovery appeared to be fragile. Hong Kong's economy expanded 3.3% in the second quarter of this year the first expansion in a year as exports and household spending improved along with rising world demand.
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