Retail Sales Increase By 2.7% In July 2015
[Updated] The total retail sales index was 2.7% higher than the level reached in July 2014, and after adjusting for the annual retail sales rate of inflation, measured at 1.4% in July, the volume of retail sales increased 1.3%.
This is according to the latest retail sales index, which said that motor vehicle retailers recorded the largest growth in sales, increasing 36.6%. In contrast, apparel stores registered the largest decrease in sales of 4.7%.
Chart extracted from the report:
Sales receipts for service stations were 1% higher than the levels reached during July 2014. The 5.3% increase in the volume of sales was offset by a 4.1% drop in the price of fuel.
Receipts from food sales increased 3.1%, while sales revenue for liquor stores contracted 1.8% during July 2015. The sales volume of food stores remained unchanged. In contrast, liquor store volume sales decreased 2.5%
Sales receipts for the all other store types sector weakened 2.5%. Gross receipts earned by boat and marine suppliers fell 24.6%. Sales at tourist-related stores declined 6.8%, while sales of furniture, appliances and electronics slipped 1.3%. In contrast, gross receipts of pharmacies increased 1.5%.
Returning residents declared overseas purchases valued at $4.5 million, the same as in July 2014. This contributed to a combined local and overseas spending of $102.1 million.
Update: An OBA spokesperson said, “The July, 2015 Retail Sales Index [RSI] has recorded a 2.7% increase over July 2014, or 1.3% when adjusted for inflation. This marks a full year of increases in the RSI which is a positive sign that our economy is moving in the right direction following six years of stagnation and decline.
“Vehicle sales continue to show strong growth, increasing 36.6% due to a 38.3% increase in the number of vehicles sold. This follows an increase of 36.7% in June and 51.1% in April.
“Also encouraging is the continued growth in construction supplies, increasing 2.3 % in July, when adjusted for inflation. This is the seventh straight month of growth in this sector following a 12.6% increase in June.
“These increases are linked to residential projects that reflect confidence in the economy as homeowners invest in their properties. The Minister responsible for the Planning Department recently announced changes to help speed up the Planning process to enable projects to get underway sooner, which will further assist this sector.
“While there was minimal contraction in some other sectors, it should be noted that there was one less shopping day in July, 2015 compared to the same month last year.
“The upward trend in the RSI – an important contributor to the Gross Domestic Product [GDP] – indicates the OBA Government’s push to attract foreign investment is creating opportunities for Bermudians.”
“GDP is rising, unemployment is falling and confidence is returning to Bermuda. The Government is working every day to get our economy working for Bermudians, and a full year of increasing retail sales indicates recovery is beginning to take hold across the Island.
The full 2015 July Retail Sales Index is below [PDF here]:
Good news suggesting light at the end of the tunnel.
Its just the friends and family recycling the funds.
Chip,
Don’t forget to add your grave concern.
Great news! I wait with baited breath to see how the Opposition will spin this using their Burt Math.
No need to spin anything … It’s happening in every developed country .
It was happening in every developed country from 2009 onwards, but that didn’t stop Bermuda’s economy getting further and further into the toilet during those years, did it.
This is how they will spin it:
This is further proof that the OBA is failing Born Bermudians. The index number value is down on 2013, which wasn’t that long after the PLP were in power.
Car sales are up, and that’s only because the rich white boat race people are buying cars. That also explains why service stations sales receipts are up. Apparel sales are down because the boat race people bring their own clothes with them.
Food sales increased because of all those rich white sailing folk buy expensive food, and liquor sales are down because those rich white sailing folk are fit and healthy and don’t drink so much as Born Bermudians.
The all other store types sector, which historically is the key indicator for Born Bermudians, weakened by 2.5%, further proof that Born Bermudians are suffering at the hands of a party who don’t care. Gross receipts by boat and marine suppliers has fallen by 24.6% because the boat race people brought their own foiling catarmathingies with them instead of buying them locally from hard-working Born Bermudians.
Sales at tourist-related stores fell by 6.8% because rich white boat type people don’t buy fridge magnets, and sales of furniture, appliances and electronics fell because buses were cancelled and people couldn’t get to Masters before they closed. The OBA need to make an announcement about that, or something.
Gross receipts at pharmacies increased because of the medication which Born Bermudians are being forced to take all because of a boat race.
We demand a new election blah blah blah
Sales of chips are up.
Lol. Nicely done.
This still doesn’t help my family members who can’t find work.
It will. We are still some distance from tangible recovery. But these are the signs we need to see.
We need to heighten our focus on increasing the resident population and foreign investment. Many bark at what comes with this but people who don’t like the sound of it will continue to complain about not having jobs, cut backs, lower incomes etc. and the number in this group will steadily increase.
agree JT–but the Banks aren’t opening accounts for the FDI to enter Bermuda.
The “Open for Business” mantra is more like a marketing slogan then an executable exercise.
We need to be open for business on all levels!
Yes. There isn’t really a viable middle ground here at this stage. We are either all in or not really in at all. Take it or leave it, but understand the likely outcomes.
Where have they looked and where have they applied ?
I have applied for everything i see and hear and across all industries in Bermuda.
Still unemployed after pounding the pavement for 11 months.
I can’t hold out forever as something will have to give (again)
Act like a Xpat and apply for a work permit the job will open up over night.
Do you believe we should be working to increase our resident population alongside aggressive efforts to court IB and foreign investment or do you feel increasing the expatriate population is a threat to your overall situation?
Sorry to be the bearer of bad news to you but, if you truly have pounded the pavement to all industries in BDA, then the problem is you??? But don’t think for one second I actually believe you!!! You are a plper spreading once again miss truths and you you are doing nothing to help Bermuda get out of the mess the plp put us in!!!! But yet again why would anyone expect anything else from the the likes of you??? I actually just hired to unemployed black bermudians that had NO experience in my field of business and you know what, I did it to help our economy because they actually continued to follow up after their interviews almost to the point of becoming a pain in the you know what?? But, I will say this, after relenting and hiring them after I already had hired another person but thought maybe I should give them a chance and hope I can generate enough business to to carry them, and I am happy to tell you it was the best decision I have made business wise in a few years!!! They are working great and I could not be more happy with them, and business has grown enough to justify the two extras I have in just a few short months!!
Wrong Kangoocar!!! There are AT LEAST 2000 unemployed Bermudians out of work and have been for a LONG time!! I’ve been out of work for 10 months myself, and can relate to the person who wrote…I have a degree and decades of continuous, good employment within management and support positions alike…there are TOO MANY people out there without jobs, heck I can’t even get an interview with my VAST experience!! I voted OBA, btw, and am definitely not a PLPer!! I spend $1000 per month from savings just to have a roof and to eat…NO Health insurance, I can’t afford it!!! I know of other professionals who are in similar situations, with longer spells without work..at least part-time work would be helpful, something is better than NOTHING…we need the community to work with those who have 95% of the qualifications, not demand 100%!! 5% can be trained or learned…middle class has SHRUNK considerably, you are either rolling in dough or struggling and on Govt assistance…people like me can do neither, but see their lifelong savings whittled away just to live in Bda!!!
What skillsets do you have ?
My brother was out of work for 18 months and has a good job now.
Keep looking.
And if we’re just talking anecdotes, I’ve been trying to get someone reliable to paint my roof for 6 months.