According to official data released by the Census and Statistics Department on Monday, the value of total retail sales in January was estimated at HK$35.3 billion.
January’s drop was narrower than the revised 9.6 percent decline recorded in December last year.
Sales of motor vehicles and parts saw the sharpest decline at 52.6 percent, while those of furniture and fixtures saw a 26.4 percent fall.
In a statement, a department spokesman said looking at both January and February data would give a better picture of the city’s retail performance during the Lunar New Year period.
“Looking ahead, the near-term performance of the retail sector would continue to be affected by the change in consumption patterns of visitors and residents,” the department statement read.
Bond Law, executive director of the Retail Management Association, said he expects a sluggish year for the sector.
“By April, we anticipate that the drop may narrow or level off with slight increases during certain holidays. Overall, we expect a flat year with fluctuations of no more than 2 percent,” he said.
Law said purchasing power and consumer sentiment remained weak despite an increase in mainland travellers.
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Last updated: 2025-03-03 HKT 18:56
