Hong Kong retail sales fall 7% in March, marking sector’s worst performance in 2 years
- Provisional figures released by the Census and Statistics Department show sales in March at HK$31.2 billion
- Changing consumption patterns of visitors and residents may continue to pose challenges, government spokesman says
Hong Kong’s retail sales dropped 7 per cent in March from a year ago, with the sector marking its worst performance in two years as it faced a double whammy of rent increases and residents spending across the border during the long Easter holiday.
Provisional figures released by the Census and Statistics Department on Friday showed sales in March reached HK$31.2 billion. It was the first contraction after 15 consecutive months of improvement since December 2022 when a 1.2 per cent rise was logged.
It also marked the sharpest contraction since March 2022 when retail sales were down 13.8 per cent year on year.
A government spokesman said the decline in retail sales in March was partly due to a high base of comparison for visitor spending and the Easter holidays.
“Looking ahead, further revival of inbound tourism and rising household income should remain supportive to the retail sector. The government’s efforts to promote a mega event economy and boost sentiment should also help,” he said.
“Yet, the changing consumption patterns of visitors and residents may continue to pose challenges. The government will continue to monitor the situation.”
