Ukraine retail sales grew by 12.5% year-on-year in real terms in January, keeping the same growth pace as in the previous month, the nation's state statistics service Ukrstat reported on February 20.
In month-to-month terms, retail declined by 21.9% in real terms. Regionally, the highest retail growth in January occurred in Zaporizhzhia (17.7% y/y), Ternopil (17.4% y/y), and Kirovohrad (16% y/y) regions.
Evgeniya Akhtyrko at Kyiv-based brokerage Concorde Capital wrote in a note on February 21 that significantly cooling inflation helps to maintain the high growth rate of real retail sales. "As a remarkable development, January’s growth in retail sales across different regions was much more even, as compared to the previous year when amid the overall strong retail growth there were regions with negative results," she added.
Concorde expects real retail to increase 8-9% y/y in 2020 (vs. 10.5% y/y in 2019).