Isle Counties Move ‘Steadily Forward’
A聽UHERO report says prospects “remain good for the next few years,” with聽new visitors, restored jobs and growing incomes. But challenges remain, too.
In a new report, the 聽says聽Hawaii鈥檚 four counties are moving “steadily forward, accommodating new visitors, restoring lost jobs, and growing household incomes.”
UHERO concludes,聽“Prospects remain good for the next few years, supported by health in the U.S. economy, local labor markets, and construction.”
But there are also individual challenges for each county.
Here’s the聽highlights:
- “Additional growth is expected for the visitor industry in all counties, if more restrained than in 2015. US economic strength will support domestic travel, which will particularly benefit the Neighbor Islands. Conditions in international markets are more challenging; Chinese slowing, a struggling Japanese economy, and weak currencies will be a drag on international arrivals and spending.聽…
- “Last year was a breakout year for construction on the Neighbor Islands and another strong one for Oahu. Honolulu is much further along in the cycle, and payroll job counts are now above the previous peak, driven by Kakaako condos, commercial building, and rail. The Neighbor Islands are seeing resort development and the beginning of a residential pickup, but the extent of this building upswing will be more limited than in the past. …
- “Outside of construction, the areas of strongest job growth in the near term will be accommodation and food services on the Neighbor Islands and transportation and utilities on Oahu. All counties will see some backing off of growth in tourism-related sectors over the next several years. Despite the woes of the state hospital system, private health care will be among the strongest industries over the medium term, growing to meet the needs of an expanding and aging population. … ; and
- “After relatively healthy growth this year, increments to employment will begin to taper off as the economy converges to a long-run path consistent with labor force growth. Buoyed by lower unemployment and restrained inflation, real personal income grew in the roughly 3.5-4.0% range last year across the counties.聽…”
