HONG KONG - Hong Kong's overall consumer prices rose 1.3 percent in July over the same month last year, down from the 2.8 percent rise in June, said Hong Kong's Census & Statistics Department on Friday.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 was 1.9 percent, mainly due to increases in the prices of food, excluding meals bought away from home, and private housing rentals.Year-on-year increases in prices were recorded in July for electricity, gas and water which climbed 62.8 percent in the composite CPI, mainly because some households used up the full amount of the government's electricity charge subsidy, said the department.Food prices, excluding meals bought away from home, rose 3.8 percent while the price of miscellaneous goods grew 2.6 percent. Other categories showing increases included miscellaneous services, transport, clothing and footwear, meals bought away from home and alcoholic drinks and tobacco.Year-on-year declines in prices were recorded for housing and durable goods.
For the first seven months of the year, the composite CPI rose 2.1 percent over a year earlier.For the year ending July, the composite CPI was on average 1.5 percent higher than in the preceding 12-month period.The department said the economy will continue to face some upward price pressures from both the domestic and external fronts.The increases in private housing rentals and food prices will pose upside risks to inflation. Nevertheless, the sustained productivity growth in the economy should help alleviate part of the domestic cost pressures
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