HK retail sales fall 7 percent in March
Hong Kong's retail sales fell 7 percent in March from a year earlier, ending 15 months of growth. According to figures released by the Census And Statistics Department on Friday, sales totalled HK$31.2 billion. The decline followed a 1.9 percent increase in February, and 0.9 percent growth in January.  Overall, retail sales for the first quarter of 2024 fell by 1.3 percent year-on-year. In a statement, the government blamed the drop on the high base of comparison for visitor spending and the timing of the Easter holidays last year.  It predicted that the retail sector will benefit from a continued tourism revival and rising household income.  "Further revival of inbound tourism and rising household income should remain supportive to the retail sector. The government's efforts to promote a mega event economy and boost sentiment should also help. Yet, the changing consumption patterns of visitors and residents may continue to pose challenges," a spokesperson said. The head of the Hong Kong Retail Management Association, Annie Tse, said the sales drop was a result of more Hongkongers heading to the mainland in their free time. "The northbound travel and consumption will continue since transportation is too convenient nowadays, and it is the trend. I would not say it's something that we want, but it's quite normal. We, as retailers, have to face the situation, and that will definitely be a continuing effect that will affect our industry," she said.