Hong Kong's inflation pace eased last month, rising by just 1.4 percent year on year.

The 1.4 percent is notably lower compared with the two percent annual increase seen in January, according to official data.

Figures released by the Census and Statistics Department on Thursday also showed that the underlying inflation rate, or the rate excluding the effects of all government one-off relief measures, rose 1.1 percent year on year.

That is also lower compared with the 1.6 percent increase seen in January.

The government said the slower pace of inflation was mainly due to the timing of last year's Lunar New Year festival, which fell in February, creasing a high base for comparison for this year, especially in regards to food prices and the costs of package tours.

By categories, the biggest price spikes were seen in alcoholic drinks and tobacco products, with the inflation gauge for this segment rising 20.9 percent from a year earlier.

That's followed by the price increase for gas and water, as the inflation rate for the category rose 13.3 percent.

Products that saw price declines were clothing and footwear, basic food, and durable goods, with their rates dropping between one and two percent.

Looking ahead, a government spokesperson said the city's overall inflation will remain moderate in the short term.

"Domestic costs pressures might increase somewhat as the economy continues to grow. External price pressures should remain broadly in check, though uncertainties stemming from geopolitical tensions and trade conflicts continue to warrant attention," the spokesperson said.