Growth in retail sales and consumer services increased by 12.6%, and the actual consumption figure

DNHN - According to data provided by the General Statistics Office of the Ministry of Planning and Investment (MPI), retail sales and consumer services in Vietnam grew significantly during the first five months of the year.

In the first five months of this year, the General Statistics Office (MPI) estimates that the total retail sales of consumer goods and services increased by 12.6% compared to the same period last year. The percentage is quite high and does not reflect the population's actual consumption or companies' business resultsnies.

The proportion of retail sales and consumer services, as reported by the General Statistics Office, indicates that people tend to spend more on necessities and less on social services. In the first five months of the year, total retail sales and sales of consumer services at current prices increased by 12.6%, which is a significant increase.

Taking into account the 3.9% increase in the deflation index, the price growth rate only reached 8.3%, the same as in 2018 and the average of the five years preceding the epidemic (2015-2019). This is also a reflection of the impact of the Covid-19 epidemic over the past three years (2020-2022) when the rate of increase was limited. The ratio of retail sales of goods to total retail sales and revenue from consumer services has increased from 76.3% in 2018 to 78.8% in 2019.

The proportion of food and food products increased by 3.7% from 24.2% in the first five months of 2019 to 27.9% in the first five months of 2023. In contrast, consumer services revenue (including lodging, food and beverage, travel, and other services) decreased from 23.7% in 2019 to 21.1% in 2023, a 2.6% decline. Which decreased from 12.1% in 2019 to 10.6% in 2023: the group of non-essential consumer services, such as lodging and food services. Other services declined by 0.8% as well, from 10.8% to 10%. In the context of a struggling economy, this indicates the movement of people, an increase in spending on essential goods, and a decrease in spending on non-essential services.

In addition, Vietnam saw a substantial increase in the number of international and domestic tourists. In the first five months of this year, the number of international visitors to Vietnam increased by 12,6 times compared to the same period last year. During the same period in 2022, the number of domestic tourists also increased by 3.9%. These are regarded as favorable contributors to the expansion of retail sales and consumer services.

The increase in international and domestic tourism has directly affected retail sales in the transportation, lodging, food, and beverage, and travel and entertainment industries. entertainment. This is a significant factor in the size and rate of growth of retail sales of consumer goods and services in the first five months of the year.

According to the General Statistics Office, based on current prices for the first five months of the year, retail sales of goods are estimated at approximately 2 trillion dongs, an increase of 10.7% compared to the same period in the previous year. The estimated revenue from consumer services was VND 533,500 billion, an increase of 19.9% over the same period, with accommodation and catering services accounting for VND 268,300 billion, an increase of 22.1%; travel and tourism services accounting for VND 11,600 billion, an increase of 89.4%; and other services accounting for VND 253,600 billion, an increase of 15.9%.

Compared to the preceding three years (2020-2022), the growth rate for the first five months of the year at current prices differs from the previous year’s period. The increase in retail sales of goods was 6.2%, while the decline in sales of consumer services was 1.6%. Specifically, accommodation and food services decreased by 2.5%, while travel and tourism services decreased by 29.4%, while other services increased by 1%.

The above analysis, according to the General Statistics Office, demonstrates that the growth rate of total retail sales of consumer goods and services has achieved a positive increase even though the price index for many items remains quite high. Despite a decreasing trend, this growth is still achieved against the backdrop of low growth during the same period in previous years.

On this basis, the General Statistics Office stated that it is a remarkable trend for people in difficult economic circumstances to spend more on essential goods and less on non-essential services. Simultaneously, the increase in international and domestic tourists has significantly contributed to the expansion of retail sales and consumer services.

Buu Chau