Spain: Retail sales growth remains resilient in December
January 29, 2018
Consumption dynamics in Spain proved resilient in the final months of 2017 in spite of a bleak October performance, when uncertainty surrounding the Catalan referendum for independence on 1 October weighed on household spending. Retail sales growth came in at 1.5% in year-on-year terms in December, below the five-month high 3.2% expansion recorded in November but an improvement over October’s 1.2% decline. Sales in Catalonia were largely muted at 0.2% growth in December.
Looking at a breakdown of the headline figure, purchases of personal equipment recorded strong growth for a second consecutive month in December, while sales of household equipment and food purchases expanded at weaker rates.
Annual average growth in retail sales rebounded following six months of consecutive decreases and inched up to 1.2% in December from 1.1% in November. November’s figure had marked the weakest rate of growth since December 2014.
Spain Private Consumption Forecast
FocusEconomics Consensus Forecast panelists see private consumption expanding 2.4% in 2018, which is unchanged from last month’s forecast. For 2019, the panel sees private consumption growing at 2.2%.
Author: David Ampudia, Economist