Hong Kong: Inflation stable in December
January 21, 2014
Annual inflation was 4.3% in December, which matched the result recorded in November. The print was in line with market expectations. According to the Census and Statistics Department, the result was mainly driven by higher prices for electricity, gas and water, as well as for housing. In the full year 2013, inflation inched up from 4.2% in 2012 to 4.3%.
A government spokesman stated that, "looking ahead, the still-low imported inflation and the feed-through of the milder increases in fresh-letting residential rentals in 2013 should help contain the upside risks to inflation in the near term."
FocusEconomics Consensus Forecast panelists expect inflation to average 3.8% in 2014, which is up 0.1 percentage points from last month's forecast. For 2015, the panel expects annual average inflation to moderate to 3.6%.