Hong Kong Inflation Rate Jumps to 6.9% in July

In July of 2013, Hong Kong annual inflation rate increased to 6.9 percent, from 4.1 percent recorded in June, and 1.6 percent in the same month last year, due to the low base of comparison resulted from the Government's payment of public housing rentals in July of 2012.

Underlying consumer price inflation edged up further on a year-on-year comparison in July, mainly reflecting the continued feed-through of the past increases in private housing rentals as well as the rise in the costs of package tours.  

Year-on-year increases in prices were recorded in July for housing (15.1 percent); electricity, gas and water (9.3 percent); meals bought away from home (4.4 percent); miscellaneous services (3.9 percent); food (3.6 percent); transport (2.7 percent); miscellaneous goods (2.3 percent); alcoholic drinks and tobacco (2.2 percent) and clothing and footwear (1.6 percent).  

On the other hand, year-on-year decrease in prices was recorded for durable goods (-5.0 percent).  

Looking ahead, underlying inflation is still subject to modest upside risks in the coming months, mainly due to the lagged effects of the notable rise in private housing rentals during 2012.  

Hong Kong Inflation Rate Jumps to 6.9% in July

Census and Statistics Department | Joana Taborda | joana.taborda@tradingeconomics.com
8/20/2013 9:58:59 AM