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Recovery is slow going for retail sales despite easing of lockdown restrictions

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Ter illustrasie. Foto: Getty Images/Gallo Images
Ter illustrasie. Foto: Getty Images/Gallo Images

Annual retail sales decreased by 4.2% year-on-year in August, Statistics South Africa announced on Wednesday.

This is a smaller decrease than July's revised 8.6% year-on-year decrease, though it will be the fifth consecutive month that annual retail sales have declined. Seasonally adjusted retail sales increased by 4% in August compared with July 2020. 

This followed month-on-month contractions of 0.6% in July 2020 and 5.1% in June 2020.

In the three months ending August, seasonally adjusted retail sales increased by 16.7% compared with the previous three months of the year.

Year-on-year, all categories expressed negative growth with the largest negative contributor to this decrease being all 'other' retailers with -38.8% growth.

This category comprises retailers in reading matter and stationery; jewelery, watches and clocks; and retailers in sports goods and entertainment requisites. 

As spending remained subdued under lockdown, textiles, clothing, footwear and leather goods also recorded a 10.2% annual decline, the second highest after 'other' retailers.

Retail sales decreased by 6.7% in the three months ending August 2020 compared with the three months ending August 2019.

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