HONG KONG – Overall consumer prices in Hong Kong increased 1.7 percent year-on-year in March, more than the 1.5 percent average rate of rise in the previous two months, according to the Census and Statistics Department.

Netting out the effects of the special administrative region government’s one-off relief measures, the underlying inflation rate was 1.6 percent last month, which was also larger than the average rate of increase in January and February, data issued by the department on Thursday showed.

Compared with March 2025, year-on-year increases in prices were recorded in miscellaneous services; transport; electricity, gas and water; miscellaneous goods; alcoholic drinks and tobacco; basic food; housing; and meals out and takeaway food categories.

However, year-on-year decreases were logged for durable goods as well as clothing and footwear, the data showed.

Despite acceleration, consumer price inflation stayed moderate in March, a government spokesman said.

Pointing out that the underlying Composite Consumer Price Index increased by 1.6 percent from a year earlier, up from 1.3 percent in January and February combined, the spokesman said the acceleration mainly reflected the faster increases in prices of fuel-related components in the month, amid the upsurge in international oil prices due to the Middle East conflict.

Price pressures on other components were largely contained, added the spokesman.

Looking ahead, the government said elevated international oil prices will likely continue to gradually feed through to relevant components in consumer prices in the near term, with the final impacts hinging on the evolving situation in the Middle East.

The government said it has introduced short-term targeted measures to address the recent increase in fuel prices, and will continue to monitor the development closely.

As price pressures from other sources generally stay contained, it should help rein in the potential upward pressure on overall inflation, added the spokesman.