XN000022-1993-03-22 — Page 2

MONDAY, MARCH 22, 1993

CONSUMER PRICE INDICES FOR FEBRUARY

CONSUMER PRICE INFLATION HAS FALLEN TO 8.6% IN FEBRUARY AFTER A TEMPORARY UPSURGE IN JANUARY THIS YEAR THE LOWEST SINCE SEPTEMBER LAST YEAR.

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ACCORDING TO THE FIGURES RELEASED TODAY (MONDAY) BY THE CENSUS AND STATISTICS DEPARTMENT, THE CONSUMER PRICE INDEX (A) WAS 8.6% HIGHER IN FEBRUARY THAN IN THE SAME MONTH LAST YEAR. IN JANUARY, THE CORRESPONDING INCREASE WAS 10.1%.

THE MODERATION IN

FEBRUARY WAS MAINLY BECAUSE PRICES AND CHARGES OF CERTAIN ITEMS HAD RETURNED TO A LOWER LEVEL AFTER THE SHARP INCREASE DURING THE LUNAR NEW YEAR PERIOD.

SUCH ITEMS INCLUDE HAIRDRESSING, PACKAGE TOURS AND MOST FRESH FOOD ITEMS, PARTICULARLY FRESH FRUIT, LIVE POULTRY AND FRESH-WATER FISH.

WELCOMING

THE LATEST FIGURE, THE FINANCIAL SECRETARY, MR HAMISH MACLEOD, SAID: "THIS CONFIRMS THAT THE TEMPORARY RELAPSE TO DOUBLE-DIGIT INFLATION IN JANUARY WAS DUE TO SEASONAL FACTORS.

THE

WAS

"TAKEN TOGETHER, CONSUMER PRICE INFLATION IN TERMS OF CPI(A) IN THE FIRST TWO MONTHS OF THIS YEAR STOOD AT 9.4%. THIS BROADLY IN LINE WITH AND IN FACT SLIGHTLY BELOW OUR FORECAST OF 9.5% FOR THE YEAR AS A WHOLE

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THE CPI(B) AND THE HANG SENG CPI WERE BOTH HIGHER BY 9.1% IN FEBRUARY THAN IN FEBRUARY LAST YEAR. THE CORRESPONDING INCREASES IN JANUARY WERE 10.3% AND 10.1% RESPECTIVELY.

THE COMPOSITE CPI WHICH WAS COMPILED BASED ON THE COMBINED EXPENDITURE PATTERN OF HOUSEHOLDS COVERED BY THE THREE CPIS, SHOWED AN INCREASE OF 8.9% IN FEBRUARY OVER THE SAME MONTH LAST YEAR. CORRESPONDING INCREASE IN JANUARY 1993 WAS 10.2%.

THE

THE

TAKING JANUARY AND FEBRUARY TOGETHER, THE RATES OF INCREASE IN CPI(B) P HANG SENG CPI AND COMPOSITE CPI WERE 9.7%, 9.6% AND 9.5% RESPECTIVELY.

COMPARING FEBRUARY 1993 WITH FEBRUARY 1992, RELATIVELY SLOWER INCREASES IN PRICES WERE RECORDED FOR DURABLE GOODS (1.8% IN THE CPI(A) AND 2.0% IN THE CPI(B)); FOOD (EXCLUDING MEALS AT RESTAURANTS) (2.8% AND 3.2%); TRANSPORT (5.0% AND 5.3%); FUEL AND LIGHT (5.4% IN BOTH CPI(A) AND CPI(B)); AND MISCELLANROUS GOODS (7.0% IN THE CPI(A) AND 6.9% IN THE CPI(B))

ON

·

THE OTHER HAND, RELATIVELY FASTER INCREASES IN PRICES WERE RECORDED FOR HOUSING (15.7% IN THE CPI(A) AND 15.9% IN THE CPI (B)); ALCOHOLIC DRINKS AND TOBACCO (14.2% AND 13.0%); SERVICES (10.0% AND 8.5%); MEALS AT RESTAURANTS (9.4% IN BOTH CPI(A) AND CP1 (B)); CLOTHING AND FOOTWEAR (8.6% IN BOTH CPI(A) AND CPI(B)).

AND

/FOR THE