Hong Kong’s retail sales rise by 15.9% in November compared with year earlier as tourism continues to bounce back

Hong Kong’s retail sales rose by 15.9 per cent in November last year compared with the same month in 2022, official figures released on Thursday showed, growth the government attributed to the revival of inbound tourism.

But industry leaders and economists noted the overall figure still fell short of pre-pandemic levels and said they did not expect double-digit increases to extend into the new year.

Sales in November reached HK$34.2 billion (US$4.38 billion), marking the twelfth consecutive month of improvement, according to provisional figures released by the Census and Statistics Department.

A government spokesman said the growth matched the “revival of inbound tourism”, adding the “expected further recovery” of the industry would continue to drive up retail sales.

“Continued improvement in household income, as well as various promotional campaigns and activities launched by the government and the industry should also provide support,” he said.

Breaking down the numbers by sector, the value of alcoholic drinks and tobacco sales rose by 152.5 per cent compared with November 2022, while jewellery, watches, clocks and valuable gifts increased by 60.8 per cent. Clothing sales grew by 54.1 per cent, but those of motor vehicles and parts dropped by 22.9 per cent, followed by furniture and fixtures, which fell by 13.1 per cent.

Online sales accounted for less than a tenth of all retail sales in November, declining by 16.1 per cent compared with the same month the year before.

Overall, retail sales increased by 17.1 per cent in the first 11 months against the same period in 2022.