Hong Kong Inflation Rate Edges Down in July

Hong Kong annual inflation rate decreased to 2.5 percent in July of 2015 from 3.1 percent in the previous month as the subsidy on electricity charge provided by the government expired.

Year-on-year price increases were recorded for: electricity, gas and water (+1.0 percent); housing (+4.3 percent); meals bought away from home (+4.4 percent); food (excluding meals bought away from home) (+4.3 percent); miscellaneous services (+1 percent); miscellaneous goods (+0.6 percent), alcoholic drinks and tobacco (0.4 percent). In contrast, downward pressure came from: durable goods prices (-5.6 percent); and clothing and footwear cost (-2.9 percent). As for transport, the Composite CPI fell by 0.5 percent.

On a monthly basis, the composite consumer price index grew by 0.4 percent, from 0.2 in the previous month.

Looking ahead, given the muted global inflation, soft international commodity prices and moderate local cost pressures, the upside risks to inflation should remain limited in the near term, a Government spokesman commented.

Hong Kong Inflation Rate Edges Down in July

Census and Statistics Department | Yekaterina Guchshina | yekaterina@tradingeconomics.com
8/20/2015 12:26:37 PM