Retail sales volume in Hungary continued to fall at a sharp calendar year-adjusted 6.6% rate in July, compared to the same month a year earlier, the Central Statistical Office (KSH) said on Wednesday. The deep twelve-month fall shows the effect of the VAT rate increase from 20% to 25% introduced in July and follows a moderate 2.2% drop in June after 4.2% fall in May.
Twelve-month retail sales have fallen every month since February 2007. In a month-on-month comparison, retail sales fell 2.3% compared to a 0.4% rise in June, according to seasonally- and calendar-year-adjusted figures.
January-July sales volume fell 3.7% from the first seven months last year.
The retail sales data include turnover of vehicle fuel from January 2009, in line with changes to revised EU statistical classifications.
Hungarian retail sales, at current prices, totaled HUF 645 billion (€2.4 billion) in July and amounted to HUF 4,001 billion in seven months. Food and FMCG sales accounted for 46% of retail turnover in January-July. (MTI-Econews)