The headline seasonally adjusted S&P Global Hong Kong purchasing manager's index fell slightly from 51.1 to 51 in January, marking the lowest level since October.

However, the index has remained above the 50-mark that separates expansion from contraction on a monthly basis for the fourth month, signalling a slight improvement in the overall business environment.

Business activity across the private sector economy expanded for the fourth month running, but the expansion rate was the weakest during the period.

In January, wholesale and retail was the best performing segment, while steep declines in manufacturing production and construction output acted as a brake on overall growth.