People wearing face masks are seen at a shopping mall in Hong Kong, July 29, 2020. (WU XIAOCHU / XINHUA)
Hong Kong retail sales saw a slight decline in August as financial market headwinds loom over the city, according to data released on Friday.
The provisional figure for total retail sales last month edged down by 0.1 percent year-on-year to HK$28.6 billion ($3.64 billion), the Census and Statistics Department revealed.
The drop followed a 4.1 percent year-on-year rise in July, when retail sales reached HK$28.3 billion.
READ MORE: Hong Kong retail sales rise 4.1% in July
Total retail sales decreased by 1.5 percent in the first eight months of this year, compared with the same period in 2021, the department said in a statement.
On a seasonally-adjusted month-to-month comparison, the value of retail sales continued to increase.
Spokesman, HKSAR Govt
A government spokesman said that the marginal year-on-year decrease in total retail sales in August was against a high base of comparison.
“On a seasonally-adjusted month-to-month comparison, the value of retail sales continued to increase,” he said.
The seasonally-adjusted figures showed total retail sales climbed 5.3 percent in the three months ending August, compared with the preceding three-month period, while the volume of total retail sales increased by 5.5 percent provisionally.
Online sales in August accounted for 9.1 percent of the total. Their value surged 21.3 percent year-on-year to HK$2.6 billion. For the first eight months of 2022, online retail sales increased by 21.7 percent compared with the same period last year.
The volume of total retail sales in August decreased by 2.9 percent, from a year earlier. The figure dropped by 4.5 percent in the first eight months, compared with the same period last year.
The government spokesman said the moderating local epidemic situation, improving labor market conditions and the second phase of consumption vouchers will continue to support consumption sentiment and demand in the near term, but he warned that “The increasingly tight financial conditions will pose constraints.”
ALSO READ: Hong Kong May retail sales contract 1.7%
In terms of sales items by value, retailers of motor vehicles and parts gained the most, with a rise of 43.7 percent year-on-year in August, followed by sales of fuels and jewelry (with increases of 7.2 percent and 4.3 percent respectively), watches and clocks, and valuable gifts.
Books, newspapers, stationery and gifts led the sales decline, down by 17.4 percent. Sales of footwear, allied products and other clothing accessories declined by 12.7 percent, while commodities in department stores decreased 11.3 percent.
Contact the writer at tianyuanzhang@chinadailyhk.com