Hong Kong’s long run of retail sales decline continued in September

Hong Kong’s September retail sales fell 6.9 percent year on year, reflecting the continued impact of a change in consumption patterns, government data showed.

Sales fell to HK$29.57 billion ($3.8 billion) in a seventh consecutive month of decline after a revised 10 percent decline in August, an 11.7 percent fall in July, a 9.7 percent fall in June, an 11.5 percent drop in May, a 14.7 percent drop in April and a 7 percent decline in March.

A government spokesman said the near-term performance of the retail sector would continue to be affected by the change in consumption patterns of residents and visitors.

“Nevertheless, an improved outlook for the Mainland economy following the recent introduction of a wide range of stimulus measures, and a possible easing of the Hong Kong dollar alongside the US dollar with the commencement of the US interest rate cut, would be conducive to boosting sentiment and supporting spending.”

The largest rate of decline in Hong Kong retail sales in September was in the jewellery, watches, and valuable gifts category, where turnover fell by 17.9 percent.

In volume terms, retail sales fell 8.7 percent year-on-year in September, compared with a revised 11.7 percent in August.