How public transport actually turns a profit in Hong Kong?

The Hong Kong MTR’s ‘rail plus property’ model keep fares cheap and makes the company completely self-sustaining. Fares are kept relatively low, ranging from HK$4 (40p) to HK$59.50 (£5.80), but nevertheless cover 170\% of the system’s operating costs. …

Why is the MTR so profitable?

Even with more than 5 million daily commuters, MTR trains boast a 99.9\% on-time arrival rate. Fares are notoriously cheap ($. 50 to $3), but cover roughly 175\% of the system’s operating costs. But the company’s real profits are derived from a lesser-known side of the business: property development.

Are any metro systems profitable?

The immediate if unsurprising takeaway is that every single metro rail system loses money. Only a handful of America’s 1,800-plus mass transit operations (metro trains as well as buses and other modes) generated more fare revenue in 2013 than they paid in costs, according to Hamilton.

Is bus cheaper than MTR?

Don’t Forget to Use the Buses Slightly cheaper than the MTR, the Hong Kong buses are a great way to get around town – and you get a fabulous view as well, because most buses are of a double decker variety (make sure to get a seat up top).

Is Hong Kong MTR profitable?

Hong Kong’s MTR Corporation marked a turnaround from its record loss in 2020, posting a profit of HK$2.67 billion in the first half of this year as the city’s economy gathered steam with the local coronavirus situation easing.

How much is public transport in Hong Kong?

Fares Bus fares cost HK$4.50 to HK$47, depending on the destination. Fares for night buses cost from HK$7.50 to HK$33. You will need exact change or an Octopus card. Bus stations On Hong Kong Island the most important bus stations are the terminus in Central underneath Exchange Sq and the one on Queensway at Admiralty.

Can you pay on bus in Hong Kong?

Fares are paid upon boarding, based on distance travelled and exact change is required if paying by cash. Octopus cards are accepted on all buses in Hong Kong. Minibuses are small buses that carry up to 19 people. Green minibuses operate along specific routes at fixed prices.

Is MTR government owned?

Following the partial privatisation and public listing of the Company on the Hong Kong Stock Exchange in October 2000, the Hong Kong SAR Government now owns around 75\% of the Company. Despite its majority ownership by the Government, the Company is independently managed on commercial principles.

How does Metro make money?

Where does Metro’s money come from? Operating revenue from passenger fares on Metro’s bus and rail system produces about $303 million each year. Other sources of revenue, like system advertising and tolls from Metro ExpressLanes, generate about an additional $138 million.

What is the most used transportation in Hong Kong?

Public Transport in Hong Kong

• MTR (Mass Transit Railway) is the most popular public transport and very convenient way of traveling in Hong Kong.
• As in other cities, taxi in Hong Kong is very convenient and inexpensive way of point-to-point travel throughout the city.