Retail Sales Rise 4.3% in September

Retail sales in Hungary rose 4.3% year-on-year in September, data released by the Central Statistical Office (KSH) show.

Retail sales rose at the same pace when adjusted for calendar year effects.

Adjusted food sales edged down 0.1%, non-food sales rose 8.7% and turnover at petrol stations increased 6.2%. Online and mail-order sales volume, which accounted for 9.4% of retail turnover, increased 12%.

In a month-on-month comparison, retail sales increased 1.1%, adjusted for seasonal and calendar year effects.

In absolute terms, retail sales came to HUF 1,752 billion in September. Food sales accounted for 46% of the total, non-food sales for 38% and sales at petrol stations for 17%.

In January-September, retail sales rose an unadjusted and adjusted 4.3%. Food sales increased an adjusted 1.9%, non-food sales rose 6.0% and sales at petrol stations were up 7.4%.

Commenting on the fresh data, Erste Bank senior analyst Orsolya Nyeste said September retail sales growth brought a positive surprise although the year-on-year decline in retail food sales is somewhat unexpected. It is a positive development that retail sales growth picked up again in September after slowing in the summer, reinforcing an improving trend. On the whole, the fresh data confirms the expectation that consumption remained a key driver of GDP growth in the third quarter, she added.

In a social media post, Minister of Economy and Energy István Kapitány commented on the data, noting that retail turnover was at a four-year high, people were spending with greater confidence and consumer confidence was strengthening.