Hong Kong's overall inflation rose less than expected in June, with the composite consumer price index rising by two percent year-on-year, the same as in May.

Data released by the Census and Statistics Department on Tuesday also showed the city's underlying inflation – or the rate netting out the effects of all government one-off relief measures – rose 1.9 percent year-on-year in June, also the same as in the preceding month.

By categories, while prices of electricity, gas and water increased the most, jumping 9.2 percent year-on-year during the period, that of transport rose by 5.3 percent and that of housing climbed 1.1 percent.

On the other hand, prices of durable goods declined 1.1 percent year-on-year in June, and that of basic food items were 0.5 percent lower compared to the same period a year ago.

Commenting on the figures, a government spokesperson said although price spikes in fuel-related items continued to accelerate, the "relatively modest price pressures" in other components partly offset overall inflation.

"Looking ahead, consumer price inflation is expected to rise in the coming months as the earlier surges in international oil prices continue to feed through," the spokesperson said.

"The recent moderation in international oil prices from previous peaks may provide some relief; however, the renewed escalation of tensions in the Middle East warrants close monitoring."


Edited by Aaron Tam