Retail Slump Eases But Worst Is Not Over Yet: Govt

Latest government figures showed Hong Kong's retail trade is still struggling amid the coronavirus outbreak, but the downward trend has eased.

Still, the government warned that with the fourth wave of cases spreading, the business environment could deteriorate in the near term.

Total sales value in October reached HK$27.4 billion, an 8.8 percent drop from the same period last year. That was the first time since June 2019 that retail sales had not suffered a double-digit decrease.

At its worst during this period, total sales value plunged 44 percent year on year in February.

The October figure was also an improvement from a 12.8 percent year-on-year drop the month before.

Electrical goods and other consumer durable goods; jewellery, watches and clocks, and valuable gifts; and medicines and cosmetics saw the largest decrease, while sales in supermarkets and department stores climbed.

A government spokesman said consumption sentiment improved in October thanks to the stable epidemic situation and a lower base of comparison.