Hong Kong retail sales growth tapered off in February, rising 1.9 per cent year on year to HK$33.8 billion, the government said on Wednesday, among the lowest increases in more than 12 months.
Provisional figure released by the Census and Statistics Department also showed retail sales in the first two months of 2024, which included Lunar New Year, rose 1.4 per cent over the same period in 2023.
The department said combining the figures for the two months made more sense because of Lunar New Year, which fell in February this time and in January in 2023.
A government spokesman said considering the first two months together, the value of retail sales rose “modestly” over a year earlier.
‘Miserable’: Hong Kong restaurants lament drop in business over Easter holiday
‘Miserable’: Hong Kong restaurants lament drop in business over Easter holiday
“As handling capacity continues to recover and more mega events are staged, inbound tourism is expected to revive further and benefit the retail sector,” he said.
“Rising household income and the government’s initiatives in boosting consumption sentiment should also provide support.
“Changes in consumption patterns of residents and visitors will continue to pose challenges.”
Retail sales growth in February was slightly higher than the 0.9 per cent increase in January, but the figure was among the lowest since December 2022 when a 1.2 per cent rise was logged.
In terms of monthly performance between January 2023 and December 2023, year-on-year growth varied between 5.8 per cent and 40.8 per cent.
Fresh concerns over the health of the retail sector emerged over the four-day Easter holiday, with Hongkongers leaving the city in droves for mainland China.
Authorities said that, compared with January and February last year, the value of sales of jewellery, watches and clocks, and valuable gifts increased by 8.8 per cent. Books, newspapers, stationery and gifts had the biggest rise at 20.1 per cent among all retail items.
