Hong Kong April retail sales tumble 14.7% amid changing consumption pattern
FILE PHOTO: A general view of K11 MUSEA, a shopping mall in Tsim Sha Tsui, Hong Kong, China April 29, 2024. REUTERS/Tyrone Siu/File Photo
HONG KONG : Hong Kong's April retail sales fell 14.7 per cent from a year earlier, partly due to a drop in visitor spending and a surge in outbound trips during the Easter holidays, government data showed on Friday.
Sales decreased to HK$29.6 billion ($3.79 billion) in the second consecutive month of decline following a 7 per cent drop in March.
In volume terms, retail sales fell 16.5 per cent year-on-year in April, compared with a revised 8.7 per cent decline in March.
"The changing consumption patterns of visitors and residents would continue to present challenges to the retail sector," a government spokesman said.
"Nevertheless, the revival of inbound tourism, rising employment earnings, and the recent stabilisation of asset markets would provide support," the spokesman said, adding the government's efforts to promote a mega event economy would help.
Eight more Chinese cities have joined a scheme allowing their residents to travel to Hong Kong on their own, rather than as part of a tour group, in efforts to boost Hong Kong's economy. The total number of cities in the scheme is now 59.
Hong Kong will host more than 100 mega events, including entertainment, conference and exhibitions, in the second half of year.
April visitor arrivals stood at 3.39 million, up 17.3 per cent from a year-ago period, data from the Hong Kong Tourism Board showed. That compared with 3.4 million in March, 4.0 million in February and 3.8 million in January.
The number of mainland Chinese visitors stood at 2.48 million in April, up 7.8 per cent from a year earlier. That compared to March's 2.46 million, February's 3.25 million and January's 2.98 million. There are signs tourists are spending less.
Sales of jewellery, watches, clocks and valuable gifts fell 28.7 per cent in April year-on-year after a 16.6 per cent decline in March.
Sales of clothing, footwear and accessories dropped 24 per cent in April after a 16.7 per cent decline in March.
($1 = 7.8167 Hong Kong dollars)
