Viet Nam’s total revenue from retail sales and services had strong growth in the first eight months of this year due to the strong increase in purchasing power of the domestic market, according to the General Statistics Office (GSO).

The total revenue from retail sales and services reached VND2.86 quadrillion (US$124.3 billion) in the first eight months, a year-on-year increase of 11.2 per cent.

If inflation was excluded, the increase would be 8.53 per cent, a record rate over the past five months. The growth rate was 8.5 per cent in the first four months, 8.3 per cent in both of the first five months and the first six months, and 8.4 per cent in the first seven months, the GSO said.

GSO expert Vu Manh Ha said the high consumption in the first eight months of this year was due to the start of consumption season and continued hot weather pushing up demand for cooling solutions and vacations. In addition, the market saw higher demand for books, notebooks and other items for the new school year in September and demand for essential goods after rain and storms. Revenue from cultural and education services gained a year-on-year growth of 10.8 per cent.

The office said revenue from retail goods accounted for three fourths of total revenue from retail sales and services to reach VND2.15 quadrillion in the first eight months of this year, a year-on-year increase of 11.7 per cent.

Of which, several products recorded strong increases, including food and foodstuffs (12.8 per cent), garments (12.3 per cent) and home appliances (11.6 per cent).

Revenue from tourism in the first eight months marked high growth of 17.6 per cent against the same period last year though it made up a small part of total revenue from retail sales and services.

This was followed by accommodation, restaurant and catering services with a growth rate of about 9 per cent in the first eight months.

Some provinces and cities with high revenue from retail sales and services at between 12-13 per cent in the first eight months included Thai Nguyen, HCM City, Thanh Hoa, Bac Giang and Binh Dinh. — VNS