05 June 2025
According to data released by the Hong Kong Census and Statistics Department, retail sales in April 2025 declined for the 14th consecutive month, dropping by 2.3% YoY to an estimated HK$28.9bn, falling short of market expectations, which had projected a 3% increase. After adjusting for price changes, the volume of retail sales registered a more pronounced YoY decline of 3.3%. Online retail sales, accounting for 8.1% of total retail sales value, were provisionally estimated at HK$2.3bn, representing a 3.5% YoY decline. Despite the ongoing contraction, a government spokesperson noted preliminary signs of stabilization in recent retail sales trends, suggesting that while headwinds remain, the rate of decline has begun to moderate. The performance in April was influenced by several seasonal and structural factors. Notably, the timing of the Easter holiday, which fell in mid-April in 2025 as opposed to late March or early April in 2023, coincided with a substantial increase in outbound travel by local residents, thereby dampening domestic retail activity during the month.