What: Singapore’s retail sales growth slowed in December after a strong surge in November.

Why it is important: The fluctuation in sales growth underscores the importance of government policy, digital transformation, and retailer adaptability in sustaining market performance.

Singapore’s retail sector experienced a notable deceleration in sales growth in December, following an exceptional surge in November. This shift underscores the inherent volatility within the market, where performance is closely tied to seasonal events, such as the timing of festive periods, and broader macroeconomic influences. The December cooling came after a robust 5.8% increase in November, which was driven by strong consumer demand and nearly 20% of sales occurring online. Earlier in the year, retail sales had also shown significant fluctuations, with a 4.8% rise in January attributed to an early Chinese New Year, followed by a sharp 6.7% drop in February and a modest rebound in March. These patterns reveal the sector’s sensitivity to both consumer behaviour and external economic conditions. Retailers have responded by emphasising digital integration and calling for greater government support to address rising costs and workforce challenges, highlighting the need for strategic agility in a rapidly evolving landscape.

IADS Notes: Singapore’s retail sales volatility is reflected in January 2026, when retailers urged stronger government support to boost competitiveness (“Singapore retailers urge stronger Budget support to boost competitiveness,” Inside Retail), and in January and February 2025, when sales surged and then plunged due to seasonal factors (“Singapore retail sales grow in January as Chinese New Year comes early,” Inside Retail; “Singapore retail sales plunge 6.7% in February,” Inside Retail). The March 2025 rebound (“Singapore retail sales rebound in March,” Inside Retail) and November 2025’s strong performance (“Singapore retail sales jump 5.8% in November,” Inside Retail) further illustrate the sector’s adaptability and the ongoing impact of digital transformation and policy measures.

Singapore retail sales growth cools in December following November surge

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