Hong Kong CPI increases 3.0% in Aug-2010

Hong Kong's Census and Statistics Department (C&SD) stated (21-Sep-2010) consumer price index (CPI) figures for Aug-2010 increased 3.0% year-on-year, larger than the corresponding increase (1.3%) in Jul-2010. On a seasonally adjusted basis, the average monthly rate of change in the Composite CPI for the three-month period to Aug-2010 was -0.5%, the same as that for the three-month period to Jul-2010. The Department added that looking forward, there are some upside risks to inflation, especially if the economy continues to grow briskly and labour market conditions improve further. Higher import prices, along with rising global food prices, may also add to imported inflation. Nevertheless, the sustained growth in labour productivity is likely to provide some cushioning to the overall inflationary pressures.