A customer buys vegetables at a food market in Hong Kong on Feb 12, 2022. (LOUISE DELMOTTE / AFP)

Hong Kong’s consumer prices rose 1.7 percent year-on-year in January, easing from the 2.4 percent increase reported in December 2023, the Census and Statistics Department of the Hong Kong Special Administrative Region government said on Thursday.

Netting out the effects of all the HKSAR government's one-off relief measures, the year-on-year rate of increase in the composite consumer price index, or the underlying inflation rate, in January was 0.8 percent, also smaller than the 1.4 percent in December.

Prices of basic food fell from a year earlier given the high base of comparison, and those of energy-related items declined further

ALSO READ: HK to register real wage growth in 2024 as inflation slows

The department said the smaller increase in January was mainly due to the fact that the Lunar New Year fell in January last year, which resulted in a high base of comparison, particularly for food prices. 

An HKSAR government spokesman said it would thus be more meaningful to examine the combined figures for January and February 2024 to assess the underlying inflation situation.

Among the major components, prices of basic food fell from a year earlier given the high base of comparison, and those of energy-related items declined further.

On the other hand, prices of meals out and takeaway food, and clothing and footwear saw relatively fast increases. Price pressures on other major components remained broadly in check.

READ MORE: HK inflation remains moderate in July

Looking ahead, overall inflation should remain moderate in the near term. Domestic costs may face some upward pressures as city’s economy continues to grow, while external price pressures should continue to ease.