Romania: Retail sales bounce back strongly

Retailers’ turnover accelerated in August to 12.5% YoY, from an upwardly revised 10.3% rate in July. Non-food sales, expanding by 17.7% YoY and matching the fastest pace since 2008, remain the main driver. This comes after hefty wage hikes in the public administration in July and with average wages in the economy increasing by 15.1% YoY as of July.

Sales of fuel also had an important contribution bringing about a quarter of the annual growth after rising by 17.8% YoY, likely as people added inventories ahead of the pre-announced September increase in excise duty for fuels. Food items posted a 6.9% YoY advance.