Inflation edges up over higher LNY food prices
Consumer prices in Hong Kong rose 2.1 percent year-on-year last month, larger than the 1.7 percent growth in January, according to government figures released on Thursday. Figures from the Census and Statistics Department also showed the city’s underlying inflation rate – having netted out the effect of one-off government relief measures – stood at 1.2 percent in February, compared with the 0.8 percent rise the month before. Authorities said higher inflation was mainly due to food price increases during the Lunar New Year holiday. Alcoholic drinks and tobacco saw the biggest price spike, jumping 6.1 percent. That was followed by a 3.6 percent increase in the price of meals out and takeaway food. The price of electricity, gas and water saw the largest decline, dropping 7.8 percent. “The underlying consumer price inflation rate stayed moderate in the first two months of 2024. While prices of meals out and takeaway food continued to see relatively fast increases, prices of basic food declined from a year earlier," a government spokesperson said. "Looking ahead, overall inflation should remain moderate in the near term."