Hong Kong Inflation Rate Steady in May


The annual inflation rate in Hong Kong was recorded at 3.7 percent in May of 2014, unchanged from the previous month. This is the lowest rate since December of 2013. Netting out the effects of all Government's one-off relief measures, the yoy inflation rate was 3.5 percent in May of 2014, unchanged from April.

Year-on-year prices accelerated for food and non-alcoholic beverages (4.2 percent in May of 2014 from 3.8 percent in April), alcoholic drinks and tobacco (8.1 percent from 7.1 percent), clothing and footwear (from 2.9 percent from 1.7 percent), transport (2.1 percent from 1.8 percent).

In contrast, cost slowed for housing (5.0 percent from 5.1 percent), electricity, gas and water (3.4 percent from 4.4 percent), miscellaneous goods (1.8 percent from 2.3 percent), miscellaneous services (3.1 percent from 3.7 percent). Prices of durable goods fell further to -2.9 percent in May of 2014 from -2.5 percent in the previous month.

A Government spokesman commented that, looking ahead, the upside risks to inflation should remain limited in the near term, given the modest rise in import prices, easing rental pressures and steady wage growth. The Government will continue to monitor the inflation developments closely and stay vigilant to their impact on the lower-income people.

Hong Kong Inflation Rate Steady in May


Census and Statistics Department | Isabel Felino | isabel.felino@tradingeconomics.com
6/23/2014 10:31:48 AM