Hong Kong still plagued with rising consumer prices

Overall climb hit 3.8%.

According to a goverment release, overall consumer prices rose 3.8% in September over the same month last year, slightly larger than the corresponding increase of 3.7% in August.

The Census & Statistics Department said today, after netting out the effects of the Government's one-off relief measures, the year-on-year rate of increase in the Composite Consumer Price Index in September was 3.9%, slightly larger than that in August (3.7%), mainly due to the increases in public housing rentals and the charges for household services.

On a seasonally adjusted basis, the average monthly rate of change in the Composite Consumer Price Index from July to September was -0.6%, and that from June to August was -0.7%. Netting out the effects of the Government's one-off relief measures, the average monthly rate of change in the Composite Consumer Price Index from July to September was 0.3%, and that from June to August was 0.1%.

Among the various components, year-on-year increases in prices were recorded in September for housing (5.6%); meals bought away from home (5.1%); electricity, gas and water (3.7%); food (excluding meals bought away from home) (3.4%); miscellaneous services (3%); transport (2.1%); clothing and footwear (2%); miscellaneous goods (1.2%); and, alcohol and tobacco (0.7%).

A year-on-year decrease in prices was recorded in September for durable goods (-1.4%).

Underlying inflation increased slightly in September, due mainly to increases in public housing rentals and charges for household services. The prices of many other major Consumer Price Index components, including food in particular, continued to show slower year-on-year increases.

Looking ahead, the austere economic environment and more moderate increases in import prices should help to contain inflation in the rest of the year. Nonetheless, the volatility of food and commodity prices amid abundant global liquidity is an area to watch over. The Government will continue to closely monitor the inflation situation, particularly its impact on low-income people.