The 15.2 per cent fall in April was the steepest since January 1999, with spending on luxury items falling by 44 per cent
The Sars outbreak has led to the biggest drop in retail sales in Hong Kong in four years, down 15.2 per cent in April compared with a year ago, with spending on luxury items falling by 44 per cent.
While the figures did not surprise many economists, they believed the situation in May would have improved because the virus was at its peak in April.
After factoring in deflation, retail sales dropped 12.2 per cent by volume from April last year. The value of sales was $12.7 billion compared with a revised $14.2 billion for March.
According to the Census and Statistics Department, it was the greatest drop since January 1999, when the value of sales fell 20.7 per cent compared with a year earlier because of a fall in spending after the Lunar New Year.
Tourism-related spending suffered the greatest setback in April, with sales of jewellery, watches, clocks and valuable gifts leading the decline - tumbling 44.3 per cent in volume - followed by clothes, down 29.6 per cent.
