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The Census and Statistics Department (C&SD) released today (March 22) the Consumer Price Index (CPI) figures for February 2012. According to the Composite CPI, overall consumer prices rose by 4.7% in February 2012 over the same month a year earlier, smaller than the corresponding increase (6.1%) in January 2012. Netting out the effects of all Government's one-off relief measures, the year-on-year rate of increase in the Composite CPI (i.e. the underlying inflation rate) in February 2012 was 5.4%, also smaller than that in January (6.7%).
The smaller increase was mainly attributable to the difference in the timing of the Lunar New Year, which occurred in January this year but in February last year, resulting in a smaller increase in the charges for package tours, the costs for meals bought away from home, the prices of other fresh sea products and poultry. Another contributing factor was the moderation in the increase in private housing rentals.
Taking the first two months of 2012 together to neutralise the effect of the Lunar New Year, the Composite CPI rose by 5.4% over a year earlier. Netting out the effects of all Government's one-off relief measures, the Composite CPI rose by 6.1% in the first two months of 2012 over a year earlier.
On a seasonally adjusted basis, the average monthly rate of increase in the Composite CPI for the 3-month period from December 2011 to February 2012 was 0.4%, and that for the 3-month period from November 2011 to January 2012 was 0.5%. Netting out the effects of all Government's one-off relief measures, the average monthly rate of increase in the Composite CPI for the 3-month period from December 2011 to February 2012 was 0.4%, and that for the 3-month period from November 2011 to January 2012 was 0.5%.
Analysed by sub-index, the year-on-year rates of increase in the CPI(A), CPI(B) and CPI(C) were 4.2%, 4.9% and 4.7% respectively in February 2012, which compared to 5.4%, 6.3% and 6.4% respectively in January. Netting out the effects of all Government's one-off relief measures, the year-on-year rates of increase in the CPI(A), CPI(B) and CPI(C) were 5.5%, 5.5% and 5.0% respectively in February 2012, which compared to 6.4%, 6.9% and 6.7% respectively in January.
Taking the first two months of 2012 together, the CPI(A), CPI(B) and CPI(C) rose by 4.8%, 5.6% and 5.6% respectively over a year earlier. Netting out the effects of all Government's one-off relief measures, the CPI(A), CPI(B) and CPI(C) rose by 5.9%, 6.2% and 5.9% respectively in the first two months of 2012 over a year earlier.
On a seasonally adjusted basis, for the 3-month period from December 2011 to February 2012, the average monthly rates of increase in the seasonally adjusted CPI(A), CPI(B) and CPI(C) were 0.4%, 0.4% and 0.3% respectively. The corresponding rates of increase for the 3-month period from November 2011 to January 2012 were all 0.5%. Netting out the effects of all Government's one-off relief measures, the corresponding average monthly rates of increase in the seasonally adjusted CPI(A), CPI(B) and CPI(C) for the 3-month period from December 2011 to February 2012 were 0.4%, 0.4% and 0.3% respectively, and the corresponding rates of increase for the 3-month period from November 2011 to January 2012 were all 0.5%.
Amongst the various CPI components, year-on-year increases in prices were recorded in February 2012 for alcoholic drinks and tobacco (16.0% in the Composite CPI and 18.3% in the CPI(A), mainly due to the increase in tobacco duty by 41.5%); housing (8.1% in the Composite CPI and 6.8% in the CPI(A)); food (excluding meals bought away from home) (7.9% in the Composite CPI and 8.2% in the CPI(A)); meals bought away from home (6.0% in the Composite CPI and 6.1% in the CPI(A)); clothing and footwear (5.4% in the Composite CPI and 4.9% in the CPI(A)); transport (4.2% in the Composite CPI and 3.7% in the CPI(A)); miscellaneous goods (3.8% in the Composite CPI and 3.3% in the CPI(A)) and miscellaneous services (0.5% in the Composite CPI and 0.3% in the CPI(A)).
On the other hand, year-on-year decrease in prices were recorded in February 2012 for electricity, gas and water (-17.4% in the Composite CPI and -21.6% in the CPI(A), largely as a result of the Government's electricity charge subsidy) and durable goods (-1.8% in the Composite CPI and -2.1% in the CPI(A)).
For the 3 months ended February 2012, the Composite CPI rose by 5.5% over a year earlier, while the CPI(A), CPI(B) and CPI(C) rose by 5.0%, 5.8% and 5.7% respectively. The corresponding increases after netting out the effects of all Government's one-off relief measures were 6.2%, 6.1%, 6.3% and 5.9% respectively.
For the 12 months ended February 2012, the Composite CPI was on average 5.6% higher than in the preceding 12-month period. The respective increases in the CPI(A), CPI(B) and CPI(C) were 5.8%, 5.6% and 5.5%. The corresponding increases after netting out the effects of all Government's one-off relief measures were 5.7%, 5.8%, 5.8% and 5.6% respectively.
Commentary
A Government spokesman said that underlying consumer price inflation eased back in early 2012, after an almost uninterrupted acceleration since November 2010. Taking the first two months of 2012 together to remove the distortions due to the difference in timing of the Lunar New Year, the underlying consumer price inflation went down to 6.1%, thanks to slower increases in both food prices and private housing rentals. The easing in price pressures was likewise apparent from the slower increase in the seasonally adjusted Composite CPI series.
The spokesman commented further that, looking ahead, with global food prices peaking out since early 2011 as well as a slowing local economy, inflation is expected to come down over the course of 2012. The Government will continue to closely monitor the local inflation situation, particularly its impact on the lower-income people.
Further information
The CPIs and year-on-year rates of change at section level for February 2012 are shown in Table 1. The time series on the year-on-year rates of change in the CPIs before and after removing the effects of one-off measures are shown in Table 2. For discerning the latest trend in consumer prices, it is also useful to look at the changes in the seasonally adjusted CPIs. The corresponding time series on the average monthly rates of change during the latest 3 months for the seasonally adjusted CPIs are shown in Table 3. The rates of change in the original and the seasonally adjusted Composite CPI and the underlying inflation rate are presented graphically in Chart 1.
More detailed CPI data (including year-on-year comparison, month-to-month comparison and seasonally adjusted data series) are available in the monthly reports. Users can download the February 2012 issue of the Monthly Report on the Consumer Price Index free of charge at the website of the C&SD (www.censtatd.gov.hk/products_and_services/products/publications/statistical_report/prices_household_expenditure/index.jsp).
For enquiries about the CPIs, please contact the Consumer Price Index Section of the C&SD at telephone no. 2805 6403 or email address cpi@censtatd.gov.hk.
Ends/Thursday, March 22, 2012
Issued at HKT 16:30
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