Hong Kong retail sales rise as pandemic threat eases

Hong Kong’s retail sales climbed for the fifth straight month in June, helped by an improved labour market and a stabilising Covid-19 situation although demand was hampered by weak tourism.

Retail sales in June rose 5.8 per cent from a year earlier to HK$28.1 billion ($3.61 billion), government data showed on Monday. June’s increase compared with revised 10.4 per cent growth in May.

“The consumption voucher scheme will help stimulate local consumer sentiment and provide support to the retail sector,” a government spokesman said, referring to electronic vouchers given to certain consumer to spend in retail stores.

He urged the community to keep the epidemic under control and strive towards more widespread vaccination, in order for a broader economic recovery.

In volume terms, retail sales in June grew 2.8 per cent from a year earlier, compared with a revised 7.7 per cent surge the previous month.

For the first half of 2021, total retail sales increased 8.4 per cent in value terms and rose 7.1 per cent in volume.

Online retail sales in June jumped 63.8 per cent in value year-on-year, compared with a revised growth of 52.9 per cent in May.

Sales of jewellery, watches, clocks and valuable gifts, which before the pandemic relied heavily on Chinese tourists from the mainland, climbed 31.8 per cent in June versus a 54.8 per cent surge in May, the data showed.