Hong Kong Inflation Holds at 1.2% in November

Hong Kong’s annual inflation rate rose to 1.4% in December 2025, the highest since June 2025 and up from 1.2% in November. The increase was primarily driven by faster price growth in transportation (4.3% vs 3.5%) and miscellaneous services (2.3% vs 1.9%), alongside smaller declines in clothing and footwear (-1.7% vs -4.1%) and durable goods (-2.6% vs -3.3%). Housing costs remained stable, growing 1.6%. Conversely, price growth softened for food (1.0% vs 1.1%), miscellaneous goods (1.2% vs 1.3%), and alcoholic drinks and tobacco (2.0% vs 2.1%), while electricity, gas, and water prices fell further (-1.6% vs -0.5%). On a monthly basis, consumer prices increased 0.3% in December, following a flat reading in November. Excluding the government’s one-off relief measures, the underlying inflation rate edged up to 1.2%, compared with 1.0% in November.

Hong Kong’s annual inflation rate remained stable at 1.2% in November 2025, maintaining the highest level since July 2025 and unchanged from October. Faster price growth in food (1.1% vs 0.9% in October) and transport (3.5% vs 3.1%), along with a smaller decline in clothing and footwear (-4.1% vs -4.7%), was offset by slower price growth in miscellaneous services (1.9% vs 2.0%) and a further drop in electricity, gas and water (-0.5% vs -0.3%). Prices were unchanged in housing (1.6%), miscellaneous goods (1.3%), and durable goods (-3.3%). On a monthly basis, consumer prices were flat in November, following a 0.3% rise in October. Excluding the government’s one-off relief measures, the underlying inflation rate remained at 1.0%, unchanged from October.

Hong Kong’s annual inflation rate rose slightly to 1.2% in October 2025, the highest in four months, up from 1.1% in September. Price growth picked up notably for miscellaneous goods, rising to 1.3% from 0.4% in September, and for miscellaneous services, increasing to 2.0% from 1.6% Inflation also picked up for transport (3.1% vs 2.2%) and ticked higher for food (0.9% vs 0.8%). On the other hand, costs fell for utilities (-0.3% vs 0.4%), while clothing and footwear (-4.7% vs -3.7%) and durable goods (-3.3% vs -3.1%) continued to see deflation. Housing inflation eased slightly (1.6% vs 1.7%). On a monthly basis, consumer prices rose 0.3%, the largest increase in three months, after a 0.1% gain in September. Excluding the government’s one-off relief measures, the underlying inflation rate remained at 1.0%, unchanged from September.