Economist at UOB Group Barnabas Gan assesses the latest Retail Sales figures in Singapore.
Key Takeaways
“Singapore’s retail sales surged 6.7% y/y (+2.3% m/m sa) in Dec 2021, surprising market estimates for a milder growth of 4.6%. Accounting for the latest data, Singapore’s retail sales rose 11.1% for the whole of 2021.”
“The retail sales index was supported by strong receipts in both durable and consumer discretionary expenditure. Notably, online retail sales in value terms rose to its highest since Dec 2017, while the return of tourism-related demand could have supported overall retail sales as well.”
“The continued expansion Dec’s retail sales point towards a resilient recovery environment for Singapore’s retail sector. For 2022, retail sales performance will depend on the recovery of Singapore’s domestic economy and the gradual reopening of its borders. Barring the exacerbation of COVID-19-related risks in Singapore and around the region, we pencil retail sales to expand by 6.0% in 2022.”
