The newest University of Hawaiʻi Economic Research Organization (UHERO) report focuses on Hawaiʻi’s continuing economic expansion although the pace of growth is beginning to slow as policy uncertainties loom.
After seven years of sustained growth in the islands, deceleration is now underway. In part this stems from the slowing pace of construction industry expansion. But it also reflects a generalized slowing as demand growth eases and labor markets tighten. Tourism has kept up a record-breaking pace longer than expected; still, there will only be room for so much additional growth. The economic outlook remains generally positive, if clouded by the many things that could go wrong in Washington or closer to home.
- Tourism growing despite limited capacity
- Prospects good for Hawaiʻi workers
- Construction will hover near all-time highs
- Home prices driving inflation upward
- Against a generally upbeat outlook are an array of risks