Ukrainian retail sales increased 9.6% year on year (and 1.1 month on month) in August, slowing from 10.1% y/y growth in the previous month, Ukraine’s State Statistics Service reported on September 20. In 8M21, retail increased 12.9% y/y (vs. 5.7% y/y in 8M20).
The highest growth of retail sales in 8M21 occurred in Chernivtsi (30.2% y/y), Ternopil (28.4% y/y) and Lviv (20.2% y/y) regions. The slowest growth rates were in Kharkiv (1.5% y/y), Ukraine-controlled Luhansk (7.4% y/y) and Donetsk (both 9.4% y/y) regions.
“The growth rate of retail sales continues to decline as the effect of the low comparative base in the previous year wears off. Nevertheless, the retail growth remains quite high, spurred by revival of business activity,” Evgeniya Akhtyrko of Concorde Capital said in a note. “We expect consumer demand to stay strong in 2021, allowing retail sales to accelerate to 10% y/y (vs. 7.6% y/y growth in 2020).”