, Hong Kong

Inflation rate speeds by 3.7% in July

The government attributed this to the low-base effect.

The overall consumer prices rose by 3.7% in July, larger than the 0.7% increase recorded in the previous month, the Census and Statistics Department (C&SD) reported.

The larger increase in July 2021 was mainly due to the low base of comparison arising from the government's payment of public housing rentals and waiver of two-thirds of rent for tenants of Group B estates by Hong Kong Housing Society in July 2020.

Netting out the effect of one-off measures, the year-on-year increase in the composite consumer price index (CPI) rose at of 1%, up from 0.4% in June.

“The underlying consumer price inflation rate rose to 1.0% in July, mainly reflecting a low base of comparison a year earlier caused by the third wave of the local epidemic and the extra MTR fare discount,” a government spokesman said.

“Pressures on major CPI components remained modest.”

Amongst the various components of the Composite CPI, year-on-year increases in prices were registered in electricity, gas, and water (17.8%); transport (6.3%); housing (5.1%); meals out and takeaway food (3.7%); clothing and footwear (2.1%); basic food (1.1%); durable goods (1.1%), and miscellaneous services (0.7%).

Meanwhile, decreases were recorded in the components of the Composite CPI were recorded in July 2021 for miscellaneous goods (-3.0%) as well as alcoholic drinks and tobacco (-0.4%)

“Looking ahead, while the continued economic recovery and rising import prices may entail some upward pressures on prices, the underlying inflation should remain largely contained in the near term as the local economy is still operating below capacity,” the spokesman also said.

Follow the links for more news on

Join Hong Kong Business community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Top News

Unemployment rate rises to 5.4% from February to April
The total number of unemployed people stands at 206,100.   The unemployment rate rose by 0.4 percentage points to 5.4%  from February to April, when compared to the January to March period.    Based on the data from the Census & Statistics Department (C&SD), the total number of unemployed people from February to April was 206,100, an increase of 17,600 from the preceding three-month period.   Meanwhile, the number of unemployed rose by around 25,000 to 142,000, translating to a rate of 3.8%.   With the increase in the number of jobless and underemployed individuals, total employment dropped to 3,559,200, whilst the labour force fell to 3,765,300.   The deterioration of Hong Kong’s labour market however should see an improvement in the coming months, according to Secretary for Labour & Welfare, Dr Law Chi-kwong.   The receding local epidemic situation and progressive relaxation of social distancing measures, the new round of Consumption Voucher Scheme, and Other relief measures including the 2022 Employment Support Scheme should help drive improvement in the employment sentiment, said the C&SD.