HONG KONG (BLOOMBERG) - Hong Kong will raise taxi fares on Sunday (July 17), the city's first increase in five years, to help an industry battered by the coronavirus pandemic.

The base fare will increase by HK$3 (S$0.53) on July 17, the Transport Department said in a statement on Thursday.

That would increase the minimum fare for red urban taxis by 13 per cent to HK$27, while it would go up 15 per cent to HK$23.50 for green cabs in the New Territories and 16 per cent to HK$22 for blue taxis in Lantau island.

Incremental charges will be increased by HK$0.10 - HK$0.20 depending on the distance. Surcharges for baggage and pets will remain unchanged at HK$6 and HK$5 respectively.

It's the first increase in taxi fares since April 2017.

Though Hong Kong consistently ranks as one of the most expensive places in the world, cab fares in the financial hub are relatively affordable when compared with other cities in the region, with prices slightly more expensive than in Singapore but cheaper than in Tokyo.