Singapore retail sales growth slows to 1.5% in July amid sector weakness

Singapore's retail sales momentum weakened considerably in July, expanding at just 1.5 per cent year-on-year, reflecting a loss of steam in the broader consumer spending environment. The moderation came as several key retail segments contracted, with food and department store sales both recording declines during the month.

Among the notable bright spots in the sector, recreational goods emerged as the strongest performer, posting robust year-on-year growth of 13.9 per cent. This segment's resilience suggests continued consumer appetite for leisure and entertainment-related purchases, even as other retail categories faltered.

The mixed performance across Singapore's retail landscape underscores shifting consumer behaviour and spending patterns. While growth in recreational goods indicates discretionary spending remained active in certain categories, the weakness in food and department store sales points to potential pressures on household budgets and changing shopping habits.

The data provides further evidence of the challenges facing Singapore's retail sector as it navigates evolving economic conditions and consumer preferences in the region.