Hong Kong: Decline in retail sales softens in March
Retail sales fell 16.9% year-on-year in March (February: -17.5% yoy). The softer drop was due to a smaller contraction in food and alcoholic beverages sales. Meanwhile, fuel sales deteriorated. Lastly, jewelry, watches and valuables, and clothing and footwear sales declined at a sharper rate than in February.
Meanwhile, annual average retail sales growth fell to 2.0% in March (February: +5.0%).
Over Q1 as a whole, retail sales were down 10.4%, hit by Covid-19 restrictions. However, private spending should improve somewhat from April thanks to the disbursement of government stimulus vouchers and the lifting of some restrictions on domestic activity.