Hong Kong retail sales jump nearly 12% in first 2 months of year

Hong Kong’s retail sales jumped by nearly 12 per cent in the first two months of 2026 against a year ago, with authorities pointing to growth in the local economy and a surge in tourists. Provisional figures released by the Census and Statistics Department on Wednesday showed retail sales reached HK$35 billion (US$4.47 billion) in February, driven by the Chinese New Year holiday and major events in the city. Sales were HK$37.3 billion in January. Growth hit 19.3 per cent in February and 5.5 per cent in January, compared with the same period a year ago. The department combined the retail sales figures for January and February for 11.8 per cent growth, year on year. It said that since Chinese New Year fell on February 17 this year but on January 29 in 2025, it was more appropriate to analyse the figures for the two months together when making a year-on-year comparison. Retail sales for the combined two months were HK$72.3 billion compared with HK$64.7 billion in 2025 A government spokesman said retail sales “strengthened further” and “increased visibly” in early 2026, while sales of most broad types of retailers also saw growth. “Looking ahead, the resilient growth momentum in the local economy and the vibrant increase in inbound visitors are expected to support retail businesses,” he said. “Meanwhile, the government will continue to closely monitor developments in geopolitical tensions and assess its potential implications for consumer spending in the local market.” In terms of sales value, jewellery, valuable gifts and watches and clocks performed the best, jumping by 28 per cent to HK$11 billion in the first two months of 2026 compared with the same period last year. Electrical goods and other consumer durables hit HK$7 billion in the period, rising by more than 32 per cent against a year ago. Hong Kong recorded 9.95 million visitor arrivals in the two months, up by 18 per cent against a year ago. The growth was driven by visitors from mainland China at 22 per cent, those from new markets at 30 per cent and long-haul travellers at 23 per cent. Mainland visitors accounted for nearly 80 per cent of the city’s total arrivals during the two-month period. Financial Secretary Paul Chan Mo-po said in his blog on Sunday that major events and sporting competitions injected greater momentum into the tourism sector, and the retail figures were expected to reflect “the strengthening local consumption momentum”. Chan said Hong Kong had welcomed more than 13.7 million tourists this year as of March 27, representing an increase of about 17 per cent year on year.