South Korea April dept store sales seen surging, discount store sales bounce
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South Korea’s top department stores scored a second month of sales growth in April, preliminary government data showed on Tuesday, backing recent surveys showing consumers are feeling better about the economy.
Combined sales at department stores run by Hyundai Department Store, Lotte Shopping and Shinsegae Co were seen up 8.0 percent on-year in April, according to data from the finance ministry.
That would be much stronger growth than a 0.3 percent rise in March and mark the fastest gain since January this year.
The data also showed sales at discount stores last month likely rebounded to be up 0.2 percent in annual terms from a 4.6 percent drop in March.
Domestic consumption is showing broad improvement supported by consumer spending although exports continue to fall, the finance ministry said in the statement. It also added the pace of recovery in the private sector was still weak, noting that offshore risks persist as global growth remains sluggish.
The trade ministry will release finalised figures later this month.
Questions & Answers
Q.Which specific retailers were included in the department store sales data?
Which specific retailers were included in the department store sales data?
The combined sales data for department stores included figures from establishments run by Hyundai Department Store, Lotte Shopping, and Shinsegae Co. These are reported as South Korea's top department stores.
Q.How did April's department store sales growth compare to the previous month?
How did April's department store sales growth compare to the previous month?
April saw department store sales rise by 8.0 percent year-on-year, which is significantly stronger than the 0.3 percent increase recorded in March. This marks the fastest gain since January this year.
Q.What was the trend for discount store sales in April compared to March?
What was the trend for discount store sales in April compared to March?
Discount store sales rebounded in April, showing a 0.2 percent increase in annual terms. This follows a substantial 4.6 percent drop that was recorded in March.
Q.What is the finance ministry's overall assessment of the economic recovery despite these sales figures?
What is the finance ministry's overall assessment of the economic recovery despite these sales figures?
The finance ministry noted that while domestic consumption shows broad improvement, the pace of recovery in the private sector remains weak. They highlighted that offshore risks persist due to sluggish global growth.
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