Falling retail sales index in 2015 reflects sluggishness of the economy

The President of the Federation of Chambers of Commerce, Industry and Agriculture in Lebanon, Mohamad Shucair and the President of the Lebanese Franchise Association (LFA) Charles Arbid launched yesterday the first ‘Retail Sales Evolution- First Half of 2015 Index’ report in a joint press conference held at the premises of the Beirut and Mount Lebanon Chamber, noting that report will be published every six months. Shucair said the new index is of high significance as it “monitors the developments on the level of consumption on the one hand, and on the other hand, helps in identifying changes in the lifestyle of the Lebanese, their purchasing power and their confidence in the national economy, which will facilitate the development of consumption favourable policies,” as he put it. Shucair went on to say that the figures cited in the above report demonstrate the worrying situation of stagnation prevailing in the retail sector. For his part, LFA chief pointed out that retail sales for the six most important items (clothing and accessories, household items, cosmetics, food and beverages, luxury items, sports products) fell by 22.6% compared to the year 2012 when this index was first introduced, while entertainment, catering and related services increased by a mere 4.8% and tourism by 9.9%. However, Arbid noted that above rates are relatively meager if compared to the increase in operational costs over the past two and a half years. He explained that by comparing sales during the first six months of this year with those recorded during the same period of 2014, the sales figures for the six consumption categories rose by 2.2%, while stressing once more that theses figures do not represent an actual improvement in sales. )Al Mustaqbal, An Nahar, As Safir, Al Diyar, October 2, 2015(