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Andrei Chirileasa
Editor-in-Chief

Andrei studied finance at the Bucharest Academy of Economic Studies and worked for almost ten years for Ziarul Financiar, the main financial newspaper in Romania. For the last six years he was editor of the capital markets section in Ziarul Financiar. He joined the Romania-Insider.com team in May 2014 as editor and partner. Besides capital markets he is also interested in trends in economy, banking and politics. He is passionate about sports, movies and literature, especially crime fiction and political intrigues (Game of Thrones). He would like to live in the countryside one day, groom a vineyard and write his own literature. Email him for interviews, conferences and story pitches at andrei@romania-insider.com.

Retail sales growth continues to slow down in Romania

Romania’s retail trade turnover went up by only 0.2% in January 2017 compared to December 2016 and by 6.2% compared to January 2016, according to seasonally adjusted data from the National Statistics Institute (INS). The year-on-year growth pace was the slowest in about one year and a half.

Non-food retail sales pulled back sharply in January 2017 compared to the previous month declining by 6.2%. The especially strong spending in previous months might have led to some moderation from consumers at the start of the year, according to ING analysts.

“Food sales were up 2.0% month-on-month, but what balanced things out quite a lot was an 8.8% jump in fuel sales. The latter was likely prompted by consumers delaying actual purchases ahead of a planned excise duty cuts starting in January, so this looks like a one-off,” reads an ING note.

When compared to January 2016, food sales went up by 3%, non-food sales increased by 7.3%, and fuel sales surged by 12.4%.

Consumption was the main engine for Romania’s economic growth in 2016, when retail sales went up by 13.5% compared to 2015. Thus, the slow-down in retail sales may also signal a lower economic growth in 2017 compared to the 4.8% level estimated for 2016. This would contradict the Government’s forecast that the economy will grow by 5.2% this year and may lead to significant state budget adjustments.

editor@romania-insider.com

Normal
Profile picture for user andreich
Andrei Chirileasa
Editor-in-Chief

Andrei studied finance at the Bucharest Academy of Economic Studies and worked for almost ten years for Ziarul Financiar, the main financial newspaper in Romania. For the last six years he was editor of the capital markets section in Ziarul Financiar. He joined the Romania-Insider.com team in May 2014 as editor and partner. Besides capital markets he is also interested in trends in economy, banking and politics. He is passionate about sports, movies and literature, especially crime fiction and political intrigues (Game of Thrones). He would like to live in the countryside one day, groom a vineyard and write his own literature. Email him for interviews, conferences and story pitches at andrei@romania-insider.com.

Retail sales growth continues to slow down in Romania

Romania’s retail trade turnover went up by only 0.2% in January 2017 compared to December 2016 and by 6.2% compared to January 2016, according to seasonally adjusted data from the National Statistics Institute (INS). The year-on-year growth pace was the slowest in about one year and a half.

Non-food retail sales pulled back sharply in January 2017 compared to the previous month declining by 6.2%. The especially strong spending in previous months might have led to some moderation from consumers at the start of the year, according to ING analysts.

“Food sales were up 2.0% month-on-month, but what balanced things out quite a lot was an 8.8% jump in fuel sales. The latter was likely prompted by consumers delaying actual purchases ahead of a planned excise duty cuts starting in January, so this looks like a one-off,” reads an ING note.

When compared to January 2016, food sales went up by 3%, non-food sales increased by 7.3%, and fuel sales surged by 12.4%.

Consumption was the main engine for Romania’s economic growth in 2016, when retail sales went up by 13.5% compared to 2015. Thus, the slow-down in retail sales may also signal a lower economic growth in 2017 compared to the 4.8% level estimated for 2016. This would contradict the Government’s forecast that the economy will grow by 5.2% this year and may lead to significant state budget adjustments.

editor@romania-insider.com

Normal

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