Singapore retail sales returned to growth in January, partly due to the timing of the Chinese New Year.

Retail sales (excluding motor vehicles) increased 4.8 per cent in January, compared to the 4 per cent decrease in December.

According to the Department of Statistics, the growth was partly thanks to Chinese New Year being celebrated in January this year, as opposed to February last year. 

The estimated total value of retail sales was SG$4 billion (US$3 billion), of which 13.3 per cent came from online. On a month-on-month basis, seasonally adjusted retail sales rose 2.6 per cent compared to December.

More than half of the industries within the retail trade sector reported year-on-year improvement. Watches and jewellery was in the lead with a 16.3 per cent increase, followed by food & alcohol, cosmetics, toiletries and medical goods and supermarkets and hypermarkets with growth of between 11 per cent and 11.6 per cent.

Meanwhile, Petrol service stations and computer and telecommunications equipment recorded declines of 5.4 per cent and 4.4 per cent respectively.

Sales of food and beverage services surged 10.4 per cent following the 0.8 per cent growth in December. This was also due to the difference in the timing of the Chinese New Year.