Hong Kong: Inflation stable in October
November 20, 2018
Inflation remained stable at September’s 2.7% in October. When accounting for the effects of one-off government relief measures, inflation reached 3.0% (September: 3.1%). The figure mostly reflected softer increases in the prices of fresh vegetables and package holiday tours.
For the August–October period, the average of the month-on-month variations in consumer prices was 0.2% in seasonally-adjusted terms, matching the print of the three-month period from July to September 2018. Meanwhile, annual average inflation inched up from 2.2% in September to 2.3% in October.
A government spokesperson noted that:
“The inflation rate may still be subject to some mild upward pressure in the coming months, due to rising local costs and continued feed-through of the earlier rises in fresh-letting residential rentals. The Government will monitor the situation closely, particularly the impact on the lower-income people.”
Author: Joffrey Simonet, Economist