The Census and Statistics Department (C&SD) released today (April 22) the Consumer Price Index (CPI) figures for March 2022. According to the Composite CPI, overall consumer prices rose by 1.7% in March 2022 over the same month a year earlier, larger than the average rate of increase in January and February 2022 (1.4%). The comparison to the average rate of increase in January and February is to neutralise the effect caused by different timing of the Lunar New Year between two years, which occurred in early February this year but in mid-February last year. 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 March 2022 was also 1.7%, larger than the average rate of increase in January and February 2022 (1.5%). The increase was mainly due to the enlarged increases in the prices of basic food, particularly fresh vegetables.

     Comparing March 2022 with February 2022, the year-on-year rate of increase in the Composite CPI in March 2022 (1.7%) was larger than that in February 2022 (1.6%). Netting out the effects of all Government's one-off relief measures, the year-on-year rate of increase in the Composite CPI in March 2022 was also 1.7%, larger than that in February 2022 (1.6%).

     On a seasonally adjusted basis, the average monthly rate of increase in the Composite CPI for the 3-month period ending March 2022 was 0.3%, and that for the 3-month period ending February 2022 was 0.2%. Netting out the effects of all Government's one-off relief measures, the corresponding rates of increase were 0.3% and 0.2%.    

     Analysed by sub-index, the year-on-year rates of increase in the CPI(A), CPI(B) and CPI(C) were 1.8%, 1.7% and 1.8% respectively in March 2022, as compared to the average rates of increase of 1.3%, 1.4% and 1.5% respectively in January and February 2022, and 1.6%, 1.6% and 1.7% respectively in February 2022. 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 1.9%, 1.6% and 1.7% respectively in March 2022, as compared to the average rates of increase of 1.4%, 1.4% and 1.5% respectively in January and February 2022, and 1.7%, 1.6% and 1.6% respectively in February 2022.    

     On a seasonally adjusted basis, for the 3-month period ending March 2022, the average monthly rates of increase in the seasonally adjusted CPI(A), CPI(B) and CPI(C) were 0.3%, 0.2% and 0.3% respectively. The corresponding rates of increase for the 3-month period ending February 2022 were 0.2%, 0.1% and 0.1% respectively. Netting out the effects of all 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 3-month period ending March 2022 were 0.3%, 0.2% and 0.3% respectively, and the corresponding rates of increase for the 3-month period ending February 2022 were 0.2%, 0.1% and 0.1% respectively.    

     Amongst the various components of the Composite CPI, year-on-year increases in prices were recorded in March 2022 for basic food (7.6%); transport (4.9%); clothing and footwear (4.3%); meals out and takeaway food (2.7%); durable goods (1.1%); miscellaneous services (0.9%) and miscellaneous goods (0.6%).    

     On the other hand, year-on-year decreases in the components of the Composite CPI were recorded in March 2022 for electricity, gas and water (-2.0%) and housing (-0.1%).    

     As for alcoholic drinks and tobacco, the Composite CPI remained unchanged over a year earlier.    

     In the first quarter of 2022, the Composite CPI rose by 1.5% over a year earlier, while the CPI(A), CPI(B) and CPI(C) rose by 1.5%, 1.5% and 1.6% respectively. The corresponding increases after netting out the effects of all Government's one-off relief measures were 1.6%, 1.6%, 1.5% and 1.5% respectively.    

     For the 12 months ending March 2022, the Composite CPI was on average 1.7% higher than that in the preceding 12-month period. The respective increases in the CPI(A), CPI(B) and CPI(C) were 2.4%, 1.3% and 1.3% respectively. The corresponding increases after netting out the effects of all Government's one-off relief measures were 1.0%, 1.1%, 0.8% and 1.0% respectively. 

Commentary

     A Government spokesman said that the underlying consumer price inflation rate rose further to 1.7% in March. Basic food prices surged on a year-on-year basis amid elevated prices of fresh vegetables in the month. Prices of energy-related items and transport also recorded visible increases. 

     Looking ahead, inflation in many major economies may stay high in the near term amid heightened geopolitical risks and supply and transportation bottlenecks, leading to faster increases in prices of imported items. Yet, overall inflation should remain largely in check as domestic rentals stay soft. The Government will continue to monitor the situation.

Further information

     The CPIs and year-on-year rates of change at section level for March 2022 are shown in Table 1. The time series on the year-on-year rates of change in the CPIs before and after netting out the effects of all Government's one-off relief 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, seasonally adjusted data series and the CPIs by the Classification of Individual Consumption According to Purpose (COICOP)) are available in the monthly reports. Users can download the March 2022 issue of the "Monthly Report on the Consumer Price Index" (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1060001&scode=270), the time series of CPIs at detailed level (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=D5600001&scode=270), the time series of CPIs at COICOP division level (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=D5600002&scode=270) and the time series of CPIs after netting out the effects of all Government's one-off relief measures (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=D5600003&scode=270) at the website of the C&SD.

     For enquiries about the CPIs, please contact the Consumer Price Index Section of the C&SD (Tel: 3903 7374 or email: cpi@censtatd.gov.hk).

Ends/Friday, April 22, 2022
Issued at HKT 16:30

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