The Asian Development Bank lowered its growth projection for Hong Kong for 2024 and 2025 amid a slowdown in private consumption, fixed investment, and goods exports.

The Philippines-based multilateral lender slashed the city's 2024 gross domestic product growth forecast to 2.5% from its 2.8% growth forecast three years ago, according to data released Wednesday.

The lower forecast comes on the heels of a decline in growth to 1.8% in the third quarter.

Private consumption spending, fixed-investment growth, and goods exports abated, the ADB said.

Ongoing geopolitical tensions between the US and China also helped pull down exports, the lender said.

The ADB also lowered its inflation forecast for the city to 1.7% from the previous 1.8% forecast.

For 2025, the lender also slashed Hong Kong's GDP growth forecast to 2.3% from 3% and inflation forecast to 1.9% from 2.3%.