Retail growth continues


According to the preliminary data, the (working day adjusted) volume of retail sales grew by 1.5% year on year, a slight acceleration co131003_Retail sales_2mpared to the 1.2% growth rate in July. August is the fifth consecutive month of non-negative growth (since in June, according to the revised data, the volume of sales stagnated compared to June 2012), and the average growth rate during this five-mohth period amounted to 1.7%. The favourable August reading has also pushed the cumulative retail growth into positive territory: in January-August, retail sales grew by 0.2% against the same period of 2012.

August is also the second consecutive mo131003_Retail salesnth when all three aggregated types of stores saw a volume growth of around or above 1%. The fact that growth seems to stabilize in every aggregated cathegory comfirms that households has consistently reacted to the slight positive turn in real incomes with a modestly elevated level of consumption. Along with incomes, private consumption – and retail sales – are likely to continue to grow over the remaining month of 2013, and in 2014 as well.