The total retail sales value surged 9.4% over a year earlier to $18.6 billion in April, while total retail sales volume rose 7.9%, the Census & Statistics Department says.

The department said the strengthening in consumer spending was underpinned by improving employment incomes and better job opportunities, as well as by the positive wealth effect from the strong performance of the stock market.

Analysed by type of retail outlet, the sales volume of motor vehicles and parts increased the most, by 15%. Double-digit rises in sales volume were also seen in commodities in department stores (up 14.4%); footwear, allied products and other clothing accessories (13.1%); furniture and fixtures (12.2%); and miscellaneous consumer durable goods (11.3%).

Other categories which recorded sales-volume increases were miscellaneous consumer goods (up 9.2%); wearing apparel (8.5%); electrical goods and photographic equipment (7%); commodities in supermarkets (7%); food, alcoholic drinks and tobacco (6.2%); and fuels (2.8%).

However, the sales volume of jewellery, watches and clocks, and valuable gifts dropped 4.2% over a year earlier.

Continuous support

The department said although the economic outlook is clouded by the uncertainties in the external environment and increased volatility in the financial markets, the improving employment incomes and further expansion of inbound tourism should continue to render support to local retail business.

The revised estimate of the value of total retail sales in March, at $18 billion, went up 9% compared with a year earlier, while the total retail sales volume rose 7.7%.

Based on the seasonally adjusted series, the total sales volume rose 2% in the three months ending April compared with the preceding three-month period.