Hong Kong's August consumer price index rose 1.7% year-on-year, with upward pressure on inflation.

On September 23, the Hong Kong SAR Government Census and Statistics Department released the Consumer Price Index (CPI) for August 2026. According to the Composite CPI, overall consumer prices in August 2026 rose by 1.7% year-on-year, the same rate of increase as in July 2026. Netting out the effects of all the Government's one-off relief measures, the year-on-year rate of increase in the Composite CPI (i.e. the underlying inflation rate) in August 2026 was 1.9%, also the same as that in July 2026. On a seasonally adjusted basis, the average monthly rate of increase in the Composite CPI for the three-month period ending August 2026 was 0.2%, the same as that for the three-month period ending July 2026. Netting out the effects of all the Government's one-off relief measures, the corresponding rates of increase were both 0.2%. Analysed by sub-index, the year-on-year rates of increase in the CPI(A), CPI(B) and CPI(C) were 1.2%, 1.8% and 1.9% respectively in August 2026, as compared with 1.2%, 1.8% and 2.0% respectively in July 2026. Netting out the effects of all the Government's one-off relief measures, the year-on-year rates of increase in the CPI(A), CPI(B) and CPI(C) were 1.6%, 2.0% and 2.0% respectively in August 2026, as compared with 1.6%, 2.0% and 2.1% respectively in July 2026. On a seasonally adjusted basis, the average monthly rates of increase in the CPI(A), CPI(B) and CPI(C) for the three-month period ending August 2026 were 0.2%, 0.1% and 0.1% respectively, while the corresponding rates of increase for the three-month period ending July 2026 were all 0.2%. Netting out the effects of all the Government's one-off relief measures, the average monthly rates of increase in the seasonally adjusted CPI(A), CPI(B) and CPI(C) for the three-month period ending August 2026 were 0.2%, 0.1% and 0.1% respectively, while the corresponding rates of increase for the three-month period ending July 2026 were all 0.2%. Among the various components of the Composite CPI, year-on-year increases in prices were recorded in August 2026 for electricity, gas and water (11.5%), miscellaneous services (4.7%), transport (3.9%), miscellaneous goods (2.5%), meals out and takeaway food (1.1%), durable goods (0.8%), and housing (0.1%). On the other hand, a year-on-year decrease in the Composite CPI was recorded in August 2026 for basic food (-0.2%). As for alcoholic drinks and tobacco, and clothing and footwear, the Composite CPI in August 2026 remained unchanged from a year earlier. For the first eight months of 2026 as a whole, the Composite CPI rose by 1.7% over a year earlier, while the CPI(A), CPI(B) and CPI(C) rose by 1.5%, 1.8% and 1.8% respectively. Netting out the effects of all the Government's one-off relief measures, the corresponding rates of increase were 1.7%, 1.4%, 1.8% and 1.8%. For the three-month period ending August 2026, the Composite CPI rose by 1.7% over a year earlier, while the CPI(A), CPI(B) and CPI(C) rose by 1.4%, 1.9% and 2.0% respectively. Netting out the effects of all the Government's one-off relief measures, the corresponding rates of increase were 1.9%, 1.6%, 2.0% and 2.1%. For the 12-month period ending August 2026, the Composite CPI rose by 1.6% on average over a year earlier, while the CPI(A), CPI(B) and CPI(C) rose by 1.5%, 1.6% and 1.6% respectively. Netting out the effects of all the Government's one-off relief measures, the corresponding rates of increase were 1.5%, 1.3%, 1.5% and 1.6%. A Government spokesman said that the underlying Composite CPI rose by 1.9% year-on-year in August, the same as in the preceding month. While inflation for fuel-related items remained high, price pressures on other major components were largely contained, keeping overall inflation moderate. Looking ahead, as elevated international oil prices continue to pass through to fuel-related items, consumer price inflation will continue to face upward pressure. The recent re-escalation of tensions in the Middle East remains a major uncertainty and warrants close attention. Nevertheless, as price pressures in other areas are expected to remain largely contained, overall inflation should stay moderate.