Analysts: in August, fuel turnover maintained the growth of retail trade turnover

Due to rising interest rates, the slowdown in retail sales may continue

According to the report published by the Central Statistical Office (KSH) on Thursday, the volume of retail trade in August exceeded the previous year by 3.3 percent according to raw data, and by 2.4 percent adjusted for calendar effects.

According to Dávid Németh, the leading macroeconomic analyst of K&H Bank

the increase in retail sales is almost only due to fuels. The decrease in demand in retail trade continued, which can be explained primarily by the rise in prices and, in connection with this, the decline in purchasing power. August is the third month in order – after June and July – when the turnover of shops selling food and food-related products moderated on an annual basis, but the turnover of non-food products is also increasingly modest, essentially stagnated in August. In practice, fuel accounts for the minimal increase in total traffic

he stated.

In the coming months, purchasing power will decrease even more, and real wages will fall due to high inflation. In addition, there was an increased demand for fuel due to summer travel in August, and this factor will be eliminated in the following months. According to Dávid Németh, based on the current outlook, retail turnover will most likely shrink in the last quarter of this year and the first quarter of 2023.

MTI