China's consumer price index rose slightly in May by 0.3% compared to the same month last year, continuing a slow upward trend over the past four months in the world's second-largest economy.
Analysts had predicted a slightly larger rise. Compared with April this year, prices declined by 0.1%, the national statistical bureau reported on Wednesday.
China experienced deflation from the autumn of last year up to January as the economy slowed and fears rose of falling wages and job losses.
Consumer demand remains weak, partly because many young people are unemployed and the property market, in which many Chinese have invested heavily, is in crisis.
The government has attempted to boost purchases through subsidies for switching old appliances and vehicles for new.
Observers believe that Beijing will take further action this year aimed at achieving its gross domestic product growth target of around 5% for the year.