For the first six months of 2015, the retail revenues in Slovakia grew by one percent, the SITA newswire wrote in August, quoting the Slovak Statistics Office. The revenues of retailers increased also month on month, by 0.4 percent. The biggest growth in revenues year on year was in the IT sector at 46.5 percent, followed by food, beverages, tobacco in specialised retail shops by 21.8 percent. The revenues declined only in the retail of “households goods by 2.3 percent and in markets by 0.2 percent.
The space for revenue growth of Slovak retailers is still being made thanks to the thriving economy which is having a positive impact on the labour market together with lower inflation, but also the loosened currency policy of the European Central Bank, UniCredit Bank analyst Ľubomír Koršňák said, as quoted by the SITA newswire. Low interest rates should also reduce the households’ tendency to save and an increase in household spending should also contribute to the GDP growth in the second half of the year, he added.
Problems may arise if consumer trust worsens, due to the situation in Greece which caused the consumers’ mood to dive to an 18 month low in July. A slow down in growth and a decline in revenues was seen in July but the situation, as well as the consumer trust in Slovakia should gradually return and the growth of revenue reestablished, according to Koršňák.
6. Aug 2015 at 14:42 | Compiled by Spectator staff