Retail sales in Hong Kong grew 1.8% year-on-year in July, marking the third consecutive month of gains. Sales reached HK$29.7bn ($3.8bn), up 0.7% from June. In volume terms, retail sales increased 1% in July, compared to a 0.3% decline in the previous month. However, total retail sales for the first seven months of 2025 declined by 2.6% in value and 4.0% in volume compared to the same period last year. Tourism continued to rebound, with 4.39mn visitors arriving in July, a 12% increase year-on-year. That compared to 3.48mn in June, 4.08mn in May and 3.85mn in April. Mainland Chinese tourists accounted for 3.51mn of July’s arrivals, up 11.8% year-on-year. This compared to 2.61mn in June, 3.12mn in May and 2.81mn in April. However, many of these visits were day trips, limiting their spending impact. In July, sales of jewellery, watches, clocks and valuable gifts climbed 9.4% compared to the same month last year, building on June’s 6.9% rise. Sales of clothing, footwear, and related items increased slightly, up 0.1% year-over-year in July, recovering from a 4.6% decline in June.