Hong Kong Consumer Prices Rise the Least in 6 Months

Consumer prices in Hong Kong increased 1.4 percent year-on-year in September of 2017, easing from 1.9 percent in August. It was the lowest inflation rate since March as school fees declined after Government launched new subsidy scheme; and effect of upward adjustment in public housing rentals by the Housing Authority in September 2016 dissipated.

Year-on-year, prices slowed for housing (2.3 percent vs 2.8 percent in August); miscellaneous goods (0.5 percent vs 0.6 percent) and clothing and footwear (0.4 percent vs 1.6 percent) while advanced at the same pace for food (2.4 percent). In addition, cost declined for miscellaneous services (-0.6 percent vs 1.8 percent), led by lower prices of education (-3.4 percent vs 3 percent), information and communication services (-2.8 percent vs -0.2 percent) and medical services (4.7 percent vs 5.1 percent).

In contrast, cost rose faster for transport (1.8 percent vs 1.1 percent) and recovered for alcoholic beverages and tobbaco (0.5 percent vs -0.8 percent).

A Government spokesman said that inflation pressure remained generally contained in September, thanks to slow increases in import prices and moderate local cost pressures. The spokesman commented also that looking ahead, inflation pressure is likely to remain limited in the near term but the Government will continue to monitor the inflation developments closely, particularly its impact on the lower-income people.

Hong Kong Consumer Prices Rise the Least in 6 Months

Census and Statistics Department |Luisa Carvalho | luisa.carvalho@tradingeconomics.com
10/23/2017 10:28:49 AM