Prices climb 6.1pc, marking biggest rise in 11 years

PUBLISHED : Tuesday, 22 July, 2008, 12:00am
UPDATED : Tuesday, 22 July, 2008, 12:00am

Consumer prices in Hong Kong jumped 6.1 per cent last month, the highest rate of increase in almost 11 years, the government said.

June's rate of inflation rose sharply from May's 5.7 per cent and surprised economists, who were expecting 5.8 per cent. Inflation has not topped 6 per cent since August 1997, when it reached 6.3 per cent.

Inflation averaged 5.1 per cent in the first half of this year.

According to Census and Statistics Department data, increases in housing rents, packaged tour and rice prices and bus fares were largely responsible for last month's higher inflation rate.

A government spokesman blamed strong economic growth for boosting rents.