Hong Kong’s retail sales dropped 14.7 per cent in April from a year ago, much worse than authorities expected and twice the decline recorded the previous month.

Provisional figures released by the Census and Statistics Department on Friday showed sales in April reached an estimate of HK$29.6 billion (US$3.8 billion). It was the second consecutive contraction following 15 months of continuous growth after the coronavirus pandemic.

A government spokesman said the decline was notable “partly because the Easter holiday rendered the effects of the changing consumption pattern of residents more visible.”

He added that a large number of residents travelled outside Hong Kong during Easter, which resulted in a lower consumption not only while they were away, but also on days before and after their trips.

“Besides, the unstable weather in April this year, with higher-than-usual rainfall, also had some impact,” he said.

The spokesman said that during this time last year, the government’s consumption vouchers were still being handed out, leading to a “high base of comparison”.

In April 2023, the city recorded HK$34.7 billion in retail sales.

Total retail sales in March this year stood at HK$31.2 billion, a 6.9 per cent drop compared with the same month in 2023.

Declines were seen in most categories across the board, with jewellery, watches, clocks and valuable gifts being the worst performers at 28.7 per cent. They were closely followed by electrical goods at 26.5 per cent, footwear and other clothing accessories at 26.3 per cent, and Chinese drugs and herbs at 25.1 per cent.

Sales of car and motor parts, however, went up by 58.5 per cent year on year.

The spokesman said the retail sector would continue to face challenges due to the changing consumption patterns of visitors and residents.

But he expressed confidence the revival of the city’s tourism and rising employment earnings, as well as the “recent stabilisation of asset markets” would provide support.