Singapore Retail Sales Fall in March

The recent reports showed that in March, Singapore's retail sales fell because of the rising car prices. These rising prices halted the consumers to make purchases.

"Weaker car sales continue to exert a drag on the numbers. Car prices were driven higher due to the shortage of certificates of entitlement that allow the ownership of cars", said Alvin Liew, an Economist at Standard Chartered Plc in Singapore, before the report.

For a third straight quarter Singapore employers expanded payrolls as faster economic growth and encouraged the companies to increase hiring at casinos and factories.

It was seen that visitor arrivals are increasing as resorts run by Las Vegas Sands Corp. and Genting Singapore Plc were attracting tourists to their roulette tables, shops and hotels.

Frances Cheung, Senior Strategist at Credit Agricole CIB in Hong Kong said that the improved job market and higher tourist inflows should strengthen retail spending. In March it was seen that the visitor arrivals increased by 17.3% from a year earlier.

It was noted that there was growth in Singapore's $182 billion economy. The growth was 32.1% in the first quarter from the previous three months which was the fastest since 1975.

A fall by 26% was seen in the vehicles whereas purchase at gas stations increased by 17.6% from a year earlier.